/raid1/www/Hosts/bankrupt/TCR_Public/150528.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
Thursday, May 28, 2015, Vol. 19, No. 148
Headlines
1415 GARFIELD: Voluntary Chapter 11 Case Summary
1425 GARFIELD: Voluntary Chapter 11 Case Summary
1435 GARFIELD: Voluntary Chapter 11 Case Summary
275 ROBINCROFT: Case Summary & Largest Unsecured Creditor
ALCO STORES: Consents to Stay Relief to Continue Kansas Action
AMERICAN HOUSING: 5th Cir. Rules on Appeal in Clawback Suit
ASHBURY HILLSIDE: Involuntary Chapter 11 Case Summary
BEVERLEY D. WILSON: Motion to Continue Trial Denied
BUTLER INNOVATIVE: Chapter 7 Trustee Wins Summary Judgment
CANBRIAM ENERGY: S&P Keeps 'B-' Rating Over $100MM Notes Add-on
CHARTER COMMUNICATIONS: Fitch Retains 'BB-' IDR on Watch Positive
CHARTER COMMUNICATIONS: S&P Keeps 'BB-' CCR on CreditWatch Pos.
CHARTER NATIONAL: ND Ill. Court to Hear Barrington v. FDIC Suit
CLUB AT SHENANDOAH: Multibank Seeks Satisfaction of Liens
COLORADO TURKEY NECK: Voluntary Chapter 11 Case Summary
CONXXUS LLC: Case Summary & 20 Largest Unsecured Creditors
DARLING INGREDIENTS: S&P Affirms 'BB+' CCR, Outlook Stable
DRD TECHNOLOGIES: Has Interim Nod for ServisFirst Cash Collateral
EDWARD SCARBOROUGH: Court Enters Default Judgment Against IBCS
ESSEX WOODS: Case Summary & Largest Unsecured Creditor
FJK III PROPERTIES: Case Summary & Largest Unsecured Creditors
FJK PROPERTIES: Voluntary Chapter 11 Case Summary
FOREST HALL: Case Summary & Largest Unsecured Creditor
FRIENDSHIP VILLAGE: Fitch Affirms 'BB-' Rating on $65.5MM Bonds
GEORGETOWN MOBILE: Receiver Seeks Excuse from Property Turnover
GOLD RIVER: Hearing on Trustee Motion Continued Until June 3
GT ADVANCED: Judge Extends Deadline to Remove Suits to Sept. 2
HCA INC: S&P Affirms 'BB' Corporate Credit Rating, Outlook Stable
HI-CRUSH PARTNERS: S&P Affirms 'B+' CCR, Outlook Stable
HILL WINE: Trustee Wins Dismissal of Appeal in Suit v. Insiders
HOLY HILL: Ch. 11 Trustee Inks Agreement with Parker Mills
HOLY HILL: Ch. 11 Trustee Seeks Approval of Deal with Carl Sohn
I.E.C. RENTALS: Wants Law Firm to Turnover $87,282
LANCASTER FINANCING: S&P Raises Rating on School TABs From BB-
MEGA RV: U.S. Trustee Seeks Dismissal or Conversion of Case
PATRIOT COAL: U.S. Trustee Forms Creditors Committee
PETTERS CO: Lenders' Appeals on Estate Consolidation Dismissed
PLATTSBURG SUITES: Bid to Appoint Chapter 11 Trustee Withdrawn
PLATTSBURG SUITES: Insists It's Entitled to Use Rents
PORTLAND NATURAL: S&P Raises Sr. Secured Debt Rating From BB+
PRESBYTERIAN VILLAGES: Fitch Assigns 'BB+' Rating on $30.5MM Bonds
PROTOM INTERNATIONAL: Meeting of Creditors Set for June 11
QUICK SILVER: Richards Layton Approved as Bankruptcy Co-Counsel
RADIOSHACK CORP: Judge Approves Bidding for Real Properties
REAL VEBA TRUST: E.D. Pa. Court Dismisses Involuntary Bankruptcy
RESIDENTIAL CAPITAL: Bankruptcy Court Trims Robertson Claim
RIENZI & SONS: Gets 3rd Interim Access to Alma Cash Collateral
RIVER CITY: Seeks Third Extension of Time to Remove Actions
SALADWORKS LLC: Needs Until Sept. 15 to File Plan
SAM CALLAS: Bid for Turnover of Cash Collateral to BCL Denied
SANTA CRUZ BERRY: Section 341 Meeting Scheduled for June 17
SIMPLY FASHION: Files Schedules of Assets and Liabilities
SIMPLY FASHION: Gets Final OK to Hire Berger Singerman as Counsel
SRP PLAZA: Files Schedules of Assets and Liabilities
STANDARD REGISTER: Panel Seeks Standing to Sue Lenders, et al.
STERLING HOLDINGS: S&P Assigns 'B' CCR, Outlook Stable
USA SYNTHETIC: Court Approves Michael Newsom as Interim CFO
USA SYNTHETIC: Morris Nicholz Approved as Bankruptcy Counsel
WBH ENERGY: Has Final Court OK to Obtain Financing From CL III
ZELIENOPLE INVESTMENT: Bid to Reject Unexpired Contract Granted
[^] Recent Small-Dollar & Individual Chapter 11 Filings
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1415 GARFIELD: Voluntary Chapter 11 Case Summary
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Debtor: 1415 Garfield LLC
1391 N. Garfield Avenue
Pasadena, CA 91104
Case No.: 15-18337
Nature of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Central District of California (Los Angeles)
Judge: Hon. Sandra R. Klein
Debtor's Counsel: Justin Lynch, Esq.
LAW OFFICES OF JUSTIN G. LYNCH
15855 E. Edna Place, Suite 25
Irwindale, CA 91706
Tel: 916-587-1828
Fax: 888-330-2126
Email: jlynchbk@gmail.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Vannesa Ly, managing member.
The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.
1425 GARFIELD: Voluntary Chapter 11 Case Summary
------------------------------------------------
Debtor: 1425 Garfield LLC
1391 N. Garfield Avenue
Pasadena, CA 91104
Case No.: 15-18339
Nature of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Central District of California (Los Angeles)
Debtor's Counsel: Justin Lynch, Esq.
LAW OFFICES OF JUSTIN G. LYNCH
15855 E. Edna Place, Suite 25
Irwindale, CA 91706
Tel: 916-587-1828
Fax: 888-330-2126
Email: jlynchbk@gmail.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Vanessa Ly, managing member.
The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.
1435 GARFIELD: Voluntary Chapter 11 Case Summary
------------------------------------------------
Debtor: 1435 Garfield LLC
1391 N. Garfield Avenue
Pasadena, CA 91104
Case No.: 15-18340
Nature of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Central District of California (Los Angeles)
Debtor's Counsel: Justin Lynch, Esq.
LAW OFFICES OF JUSTIN G. LYNCH
15855 E. Edna Place, Suite 25
Irwindale, CA 91706
Tel: 916-587-1828
Fax: 888-330-2126
Email: jlynchbk@gmail.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Vannesa Ly, managing member.
The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.
275 ROBINCROFT: Case Summary & Largest Unsecured Creditor
---------------------------------------------------------
Debtor: 275 Robincroft Trust
aka The 275 Robincroft Dr Revocable Trust
aka The 275 Robincroft Dr Land Trust
1391 N. Garfield Ave
Pasadena, CA 91104
Case No.: 15-18328
Nature of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Central District of California (Los Angeles)
Judge: Hon. Sandra R. Klein
Debtor's Counsel: Justin Lynch, Esq.
LAW OFFICES OF JUSTIN G. LYNCH
15855 E. Edna Place, Suite 25
Irwindale, CA 91706
Tel: 916-587-1828
Fax: 888-330-2126
Email: jlynchbk@gmail.com
Total Assets: $2.5 million
Total Liabilities: $2.8 million
The petition was signed by Vannesa Ly, president.
The Debtor listed The Rama Fund, LLC as its largest unsecured
creditor holding a claim of $1,450,000.
A full-text copy of the petition is available for free at:
http://bankrupt.com/misc/cacb15-18328.pdf
ALCO STORES: Consents to Stay Relief to Continue Kansas Action
--------------------------------------------------------------
Alco Stores, Inc., et al., entered into a stipulation and agreed
order for relief from automatic stay in favor of creditor William
James Huebler, a minor.
The agreement provides that, among other things:
1. Mr. Huebler is granted relief from the automatic stay to
permit him to continue his state of Kansas action and seek other
relief contemporaneously in order to pursue a determination of
liability and insurance coverage; provided, however, that Mr.
Huebler agrees that to the extent any judgment or recovery entered
in his favor is not satisfied from insurance proceeds reinsurance,
or the Workers Compensation Fund of the State of Kansas, Huebler
will waive any and all claims he would otherwise have against the
Debtors, the Debtors' successors, the Reorganized Debtors and their
property, for any amounts not satisfied, and any such unsatisfied
amounts may not be collected in any manner from the Debtors, their
estates, their successors or assigns;
2. within five business days of entry of the order, Mr. Huebler
will withdraw any proof of claim(s) related to the action that has
been filed in any of the Debtors' bankruptcy cases.
Mr. Huebler is represented by:
J. Seth Moore, Esq.
ANDERSON TOBIN, PLLC
13355 Noel Rd., Suite 1900
Dallas, TX 75240
Tel: (972) 789-1160
Fax: (972) 789-1606
E-mail: smoore@andersontobin.com
The Debtors' attorneys can be reached at:
Daniel M. Simon, Esq.
DLA PIPER LLP (US)
203 N. LaSalle Street, Suite 1900
Chicago, IL 60601-1293
Tel: (312) 368-3465
Fax: (312) 251-2854
E-mail: daniel.simon@dlapiper.com
About ALCO Stores
ALCO Stores, Inc., operates 198 stores in 23 states throughout the
central United States. ALCO offers 35,000 items at its stores,
which are located at smaller markets usually not served by other
regional or national broad line retail chains. The company was
founded in 1901 as a general merchandising operation in Abilene,
Kansas.
ALCO is a public company, and its common stock is quoted on the
NASDAQ National Market tier of the NASDAQ Stock Market under the
ticker symbol "ALCS."
ALCO Stores and ALCO Holdings LLC sought Chapter 11 bankruptcy
protection (Bankr. N.D. Tex. Lead Case No. 14-34941) in Dallas,
Texas, on Oct. 12, 2014, with plans to let liquidators conduct
store closing sales or sell the business to a going-concern buyer.
Judge Stacey G. Jernigan presides over the Chapter 11 cases.
As of July 2014, ALCO Stores had assets totaling $222 million and
liabilities totaling $162 million. The bulk of the liabilities
was total debt outstanding under a credit facility with Wells
Fargo Bank, National Association, of which the aggregate
outstanding was $104.2 million as of the Petition Date.
The Debtor received court approval to sell some of its real estate
along with store leases.
The Debtors have DLA Piper LLP (US) as counsel, Houlihan Lokey
Capital, Inc., as financial advisor, and Prime Clerk LLC as claims
and noticing agent. Michael Moore has been named consultant to
the Debtors.
The Debtors are slated to seek confirmation of their plan of
liquidation on June 2, 2015 at 9:30 a.m. Judge Stacey G.
Jernigan on April 14 entered an order approving the disclosure
statement explaining the Debtors' First Amended Plan of
Liquidation. On April 7, 2015, the Debtors filed their First
Amended Plan of Liquidation which provides that holders of secured
claims will recover 100%, holders of general unsecured claims will
recover 1% to 15%, and holders of equity interests won't receive
anything.
The official committee of unsecured creditors tapped Cooley LLP as
bankruptcy counsel; the Law Office of Judith W. Ross serves as
local counsel; and Glassratner Advisory & Capital Group as
financial advisor.
AMERICAN HOUSING: 5th Cir. Rules on Appeal in Clawback Suit
-----------------------------------------------------------
The United States Court of Appeals for the Fifth Circuit affirmed
in part and reversed in part the bankruptcy court's rulings in the
case captioned In the Matter of: AMERICAN HOUSING FOUNDATION,
Debtor. ROBERT L. TEMPLETON, Appellant Cross-Appellee, v. WALTER
O'CHESKEY, Trustee, Appellee Cross-Appellant, NO. 14-1056 (5th
Cir.).
The parties cross-appealed the bankruptcy court's judgment
subordinating claims asserted by Robert Templeton against American
Housing Foundation, and voiding, as preferential, transfers made to
Templeton within 90 days of AHF's bankruptcy filing. The
bankruptcy court, however, refused to void allegedly fraudulent
transfers. The district court affirmed the bankruptcy court's
judgment in full.
The appellate court affirmed the bankruptcy court's decision with
respect to subordination. It held that Section 510(b) of the
Bankruptcy Code mandates the subordination of Templeton's claims
because each of those claims is a claim for damages arising from
the purchase of securities of AHF's affiliates.
The appellate court, however, reversed the bankruptcy court's
judgment granting the avoidance and recovery of $157,500 in
purportedly preferential transfers made to Templeton, and remanded
the matter for further proceedings addressing, inter alia, the
ordinary course of business defense raised by Templeton.
The appellate court also reversed the bankruptcy court's judgment
on the alleged fraudulent transfers, and remanded so that the
bankruptcy court may address the issues underlying the
applicability of the good faith defense -- whether Templeton gave
value in exchange for the transfers and whether he did so in good
faith -- in a manner consistent with the appellate court's opinion.
A copy of the appellate court's April 28 decision is available at
http://is.gd/FGqzcafrom Leagle.com.
About American Housing Foundation
Founded as a Texas 501(c)(3) non-profit corporation in 1989,
American Housing Foundation owned and operated more than 12,500
residential units, making AHF one of the nation's largest entities
primarily dedicated to the workforce housing market. Residents in
AHF properties benefit from significantly below market rental
rates.
Nine alleged creditors of American Housing Foundation filed an
involuntary Chapter 11 petition against AHF (Bankr. N.D. Tex. Case
No. 09-20232) on April 21, 2009. The petitioning creditors were
represented by David R. Langston, Esq., at Mullin, Hoard & Brown,
in Lubbock, Texas. Robert L. Templeton, who asserted a $5.1
million claim on account of an investment, had the largest claim
among the petitioners.
AHF opposed the involuntary. On June 11, 2009, AHF filed a
voluntary petition (Bankr. N.D. Tex. Case No. 09-20373) to avoid
potential issues associated with a non-profit entity consenting to
relief in the involuntary action. Judge Robert L. Jones handled
the case. Robert Yaquinto, Jr., Esq., at Sherman & Yaquinto, LLP,
represented AHF in its restructuring efforts. At the time of the
filing, AHF estimated it had assets and debts of $100 million to
$500 million. Walter O'Cheskey was later appointed as Chapter 11
trustee. Focus Management Group served as advisor to the trustee.
AHF Development, Ltd., also filed for Chapter 11 bankruptcy
(Bankr. N.D. Tex. Case No. 09-20703) in 2009. At the time of its
bankruptcy filing, Development had no ongoing business operations.
Several years prior, it served as a "qualified intermediary" for
"1031 exchanges" in connection with transactions with Matt Malouf,
who became a creditor in the case.
The bankruptcy court consolidated the two cases and appointed
Walter O'Cheskey as the Chapter 11 Trustee. The Court entered its
Order Approving Appointment of Chapter 11 Trustee on April 29,
2010.
On December 7, 2010, the bankruptcy court approved the Second
Amended Joint Chapter 11 Plan filed by the Chapter 11 Trustee and
the Official Committee of Unsecured Creditors. American Housing
Foundation emerged from bankruptcy protection that month. The Plan
would pay creditors from the sale of AHF's apartment communities.
Judge Jones dismissed the bankruptcy case of AHF Development, Ltd.,
in an Aug. 17, 2011 Memorandum Opinion, at the behest of the United
States Trustee and joined by Attebury Family Partnership, L.P. and
the 2001 Scott D. Rice Trust.
ASHBURY HILLSIDE: Involuntary Chapter 11 Case Summary
-----------------------------------------------------
Alleged Debtor: Ashbury Hillside, LLC
12022 Meadowville Court
Herndon, VA 20170
Case Number: 15-11801
Involuntary Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Eastern District of Virginia (Alexandria)
Judge: Hon. Brian F. Kenney
Petitioners' Counsel: David J. McClure, Esq.
MCCLURE & BRUGGEMANN
602 S. King Street, Suite 200
Leesburg, VA 20175
Tel: (703)777-9563
Fax: (703) 771-3257
Email: dmcclure@mblawfirm.net
Petitioners Nature of Claim Claim Amount
----------- --------------- ------------
Joseph L Bane, Jr. Services rendered $10,000
12022 Meadowville Court
Herndon, VA 20170
Warren R. Stein, PC Attorney Fees $23,302
210 Wirt Street SW
Suite B-4
Leesburg, VA 20175
PSD, LLC Money Loaned $10,000
261 Piney Hill Road
Luray, VA 22835
BEVERLEY D. WILSON: Motion to Continue Trial Denied
---------------------------------------------------
Bankruptcy Judge Helen E. Burris, in her April 27, 2015 Order
Denying Motion to Continue Trial, in the case docketed as Beverley
D. Wilson, Plaintiff(s), v. Jason T. Moss, Moss and Associates PA,
Defendant(s), C/A NO. 10-01218-HB, ADV. PRO. NO. 14-80054-HB,
denied Plaintiff Beverley D. Wilson's written and oral motion to
continue the trial scheduled for April 22, 2015.
This legal malpractice lawsuit has been pending for approximately
seventeen months, and has been before the Bankruptcy Court (after
removal from state court and referral from the U.S. District Court)
for nearly a year.
Judge Burris, in denying the Plaintiff's Motion, held that "after
considering the procedural history, Plaintiff's Motion and her
arguments, Defendants' objections, the inconvenience to the third
parties present in the courtroom, the timing of Plaintiff's
request, and the disruption and delay that would result from
failing to proceed with the scheduled trial, the Court found at
trial that Plaintiff failed to show good cause for her untimely
Motion and did not present just cause for further delay of these
proceedings."
A copy of Judge Burris' Order Denying Motion to Continue Trial is
available at http://is.gd/76vKldfrom Leagle.com.
BUTLER INNOVATIVE: Chapter 7 Trustee Wins Summary Judgment
----------------------------------------------------------
Bankruptcy Judge S. Martin Teel, Jr., in his April 24, 2015
Memorandum Decision and Order Regarding Plaintiff's Amended Motion
for Summary Judgment, in the case docketed as WILLIAM DOUGLAS
WHITE, TRUSTEE Plaintiff, v. BETZAIDA JONES, Defendant, Adv. Proc.
No. 10-10021 (Bankr. D.D.C.), granted the Amended Motion for
Summary Judgment filed by White in large part and directed the
parties to provide additional information and briefing regarding
certain minor deductions from Betzaida Jones' pay.
White, the trustee appointed to administer the Chapter 7 estate of
the debtor, Butler Innovative Solutions, Inc., sought to avoid
certain transfers of funds of the estate of Butler Innovative made
to or for the benefit of Jones, made without court authorization
after the entry of the March 14, 2008 Order for Relief, and to
recover pursuant to 11 U.S.C. Section 550(a) a judgment for the
amount of those transfers.
A copy of Judge Teel's April 24, 2015 Memorandum Decision and Order
Regarding Plaintiff's Amended Motion for Summary Judgment is
available at http://is.gd/opYc7pfrom Leagle.com.
CANBRIAM ENERGY: S&P Keeps 'B-' Rating Over $100MM Notes Add-on
---------------------------------------------------------------
Standard & Poor's Ratings Services said that its ratings on
Canbriam Energy Inc. are not affected by the company's issuing an
additional US$100 million of 9.75% senior notes due 2019 (the
add-on will have identical terms as the existing US$250 million of
notes outstanding). The issue-level and recovery ratings remain at
'B-' and '4', respectively, indicating average (30%-50%; in the
lower end of the range) recovery in a default scenario. Canbriam
will use the proceeds from the add-on to fund part capital
expenditure plans and general corporate purposes.
S&P does not expect the add-on to change the company's financial
risk profile materially. Specifically, S&P forecasts pro forma
funds from operations-to-debt decreases modestly to about 15% in
2015, which remains within S&P's expectations for the ratings.
RATINGS LIST
Canbriam Energy Inc.
Corporate credit rating B-/Stable/--
Senior unsecured debt
US$350 mil. 9.75% notes due 2019 B-
Recovery rating 4L
CHARTER COMMUNICATIONS: Fitch Retains 'BB-' IDR on Watch Positive
-----------------------------------------------------------------
CCO Holding LLC's (CCOH) and Charter Communications Operating,
LLC's (CCO) 'BB-' Issuer Default Ratings (IDRs) remain on Rating
Watch Positive following the announcement of the merger agreement
today by Charter Communications, Inc. (Charter) and Time Warner
Cable, Inc. (TWC), according to Fitch Ratings.
Fitch placed CCOH and CCO's 'BB-' IDRs on Rating Watch Positive
following the April 2015 announcement of the acquisition of Bright
House Networks, LLC (Bright House) from Advance/Newhouse
Partnership (A/N) for $10.4 billion. Following the announcement
that Comcast Corporation and TWC had terminated their merger
agreement, on May 18, 2015 Charter and A/N reaffirmed their
commitment to complete this deal under the same economic and
governance terms. CCOH and CCO are indirect wholly owned
subsidiaries of Charter.
Fitch views the merger with TWC positively and believes it will
strengthen Charter's overall credit profile. Fitch anticipates
that Charter's total leverage, pro forma for both the TWC merger as
it is currently structured and the Bright House acquisition, would
be 4.5x. Fitch notes that integration risks are elevated and
Charter's ability to manage the integration process and limit
disruption to the company's overall operations is key to the
success of the transactions.
On a pro forma basis, the combined company will serve 24 million
customer relationships and become the second largest cable multiple
system operator in the country. Pro forma revenues totalled
approximately $36 billion during 2014 and EBITDA was approximately
$13 billion. Charter's operating strategies are having a positive
impact on the company's operating profile resulting in a
strengthened competitive position. The market share-driven
strategy, which is focused on enhancing the overall competitiveness
of Charter's video service and leveraging its all-digital
infrastructure, is improving subscriber metrics, growing revenue
and ARPU trends, and stabilizing operating margins.
Charter's leverage as of the LTM ended March 31, 2015 was 4.4x
excluding the debt issued by CCOH Safari, LLC and CCO Safari, LLC.
Management's leverage target remains unchanged ranging between 4x
and 4.5x. Fitch recognizes that a large portion of the TWC
transaction will involve senior secured debt, both existing at TWC
and new issuance. Depending on the ultimate capital structure, a
one or two notch upgrade could be possible provided that pro forma
senior secured leverage is at or below 4.0x and total leverage does
not exceed 5.0x.
Resolution of the Rating Watch will largely be based on Fitch's
review of Charter's capital structure including assignment of
potential equity credit to the convertible preferred partnership
units and an assessment of the risks associated with Charter's
ability to integrate the new cable systems from TWC and Bright
House.
RATING SENSITIVITIES
-- Positive rating actions would be contemplated if the TWC
merger and the Bright House acquisition go forward as total
leverage is expected to be 4.5x;
-- If the company demonstrates progress in closing gaps
relative to its industry peers on service penetration rates
and strategic bandwidth initiatives;
-- Operating profile strengthens as the company captures
sustainable revenue and cash flow growth envisioned when
implementing the current operating strategy;
-- Fitch believes negative rating actions would likely coincide
with a leveraging transaction or the adoption of a more
aggressive financial strategy that increases leverage beyond
5.5x in the absence of a credible deleveraging plan;
-- Adoption of a more aggressive financial strategy;
-- A perceived weakening of Charter's competitive position or
failure of the current operating strategy to produce
sustainable revenue and cash flow growth along with
strengthening operating margins.
CHARTER COMMUNICATIONS: S&P Keeps 'BB-' CCR on CreditWatch Pos.
---------------------------------------------------------------
Standard & Poor's Ratings Services said it kept its ratings on
Stamford, Conn.-based Charter Communications Inc., including its
'BB-' corporate credit rating, on CreditWatch, where S&P placed
them with positive implications on March 31, 2015.
All issue-level ratings, including S&P's 'BB+' senior secured
issue-level rating and 'BB-' unsecured issue-level rating, remain
on CreditWatch with positive implications.
"The continued CreditWatch listing reflects the potential for a
two-notch upgrade of Charter if the acquisitions of TWC and BHN
close under the proposed terms," said Standard & Poor's credit
analyst Michael Altberg.
Assuming a 50% cash consideration for TWC (no optional cash
election) and that Liberty invests an additional $5 billion toward
both acquisitions, S&P expects pro forma adjusted leverage to
increase to about 4.6x from 4.5x in 2014, and possibly to decline
to the low-4x area within 12 months of the acquisition close.
Including the $15 cash election, S&P estimates pro forma leverage
would be closer to 5x, declining to the mid-4x area within 12
months. S&P views this as consistent with Charter's stated
leverage tolerance of 4.0x-4.5x, plus or minus 0.5x. A two-notch
upgrade would depend upon Charter operating within this range
longer term. Following the transaction, S&P expects that TWC
shareholders would own about 40%-44% of the new Charter, with
Liberty and Advance/Newhouse owning 19%-20% and 13%-14%,
respectively.
The continued CreditWatch listing reflects the potential for a
two-notch upgrade of Charter assuming both transactions close as
contemplated, including the proposed mix of debt and equity funding
and no material asset sales. Given the shareholder and regulatory
process, S&P believes the likely timing of the deals closing would
be late 2015 to early 2016. S&P will continue to monitor
developments around the proposed transactions and update S&P's
CreditWatch listing accordingly.
CHARTER NATIONAL: ND Ill. Court to Hear Barrington v. FDIC Suit
---------------------------------------------------------------
The United States District Court for the Northern District of
Illinois, Eastern Division, in the case docketed as BARRINGTON BANK
& TRUST COMPANY, NATIONAL ASSOCIATION, Plaintiff, v. THE FEDERAL
DEPOSIT INSURANCE CORPORATION, et al., Defendants, NO. 14 C 06710,
ruled that it had subject-matter jurisdiction over the Declaratory
Judgment Action filed by Barrington Bank, as well as the
counterclaims raised by Defendant Chicago Title Land Trust Company
for eviction and damages for the amount due under a lease.
The case arises out of a dispute over rent allegedly owed by a
failed financial institution, Charter National Bank. The FDIC, as
the receiver of Charter, transferred many of the bank's assets to
Plaintiff Barrington Bank & Trust. Among the transferred assets was
a lease for one of Charter's bank locations. The landlord of that
location claims that Barrington, as assignee of the lease, is
responsible for the past-due rent owed by Charter. Barrington filed
the action under the Declaratory Judgment Act, 28 U.S.C. Sec. 2201,
seeking a declaration that it does not owe the unpaid rent.
District Judge Edmond E. Chang stated that the Court had
federal-question jurisdiction over Barrington's
declaratory-judgment action and supplemental jurisdiction over the
compulsory counterclaim. The Federal Deposit Insurance Corporation
was realigned as a plaintiff in the declaratory judgment action.
Judge Chang held that while the Court had subject-matter
jurisdiction over the counterclaim, "it must nevertheless be
dismissed for failure to exhaust" under the Financial Institutions
Reform, Recovery and Enforcement Act of 1989 (FIRREA)." He further
stated that "the rationale against the counterclaim appears to be,
not surprisingly, applicable to Barrington's declaratory-judgment
claim, in that the failure to exhaust would require entering a
declaration that Barrington is not liable for the rent."
The parties were directed to file their position papers on whether
or not the failure to exhaust also requires entry of judgment in
favor of Barrington and the realigned FDIC and against the Chicago
Title defendants in the declaratory-judgment action.
A copy of the Judge Chang's April 24, 2015 Memorandum Opinion and
Order, is available at http://is.gd/uSKcQ6from Leagle.com.
Barrington Bank & Trust Company, N.A., Plaintiff, represented by
Jason Brett Hirsh -- jhirsh@lplegal.com -- Levenfeld Pearlstein,
LLC.
The Federal Deposit Insurance Corporation, as Receiver for Charter
National Bank & Trust, Defendant, represented by Michael A. O'Brien
-- mobrien@obrienlawoffices.com -- O'Brien Law Offices, PC, Aaron
Alexander Moore, Federal Deposit Insurance Corporation & Leslie
Gregory Bleifuss, O'Brien Law Offices, P.C..
Northwest Investors, Inc., an Illinois Corporation, Defendant,
represented by Eugene Edward Murphy, Jr. --
gmurphy@mhlitigation.com -- Murphy & Hourihane L.L.C. & John N.
Hourihane, Jr. -- jhourihane@mhlitigation.com -- Murphy & Hourihane
L.L.C..
1400 Irving Park Limited Partnership, an Illinois Limited
Partnership, Defendant, represented by Eugene Edward Murphy, Jr.,
Murphy & Hourihane L.L.C. & John N. Hourihane, Jr., Murphy &
Hourihane L.L.C..
The Chicago Title Land Trust Company, Defendant, represented by
Eugene Edward Murphy, Jr., Murphy & Hourihane L.L.C. & John N.
Hourihane, Jr., Murphy & Hourihane L.L.C..
CLUB AT SHENANDOAH: Multibank Seeks Satisfaction of Liens
---------------------------------------------------------
Multibank 2009-1 RES-ADC, LLC, filed a motion asking the U.S.
Bankruptcy Court Central District of California, Riverside
Division, to direct that any money or property owing to Ronald I.
Safren and Cary Safren as a result of disbursements of remaining
net proceeds after The Club at Shenandoah Springs Village, Inc.'s
satisfaction of claims against it be applied to the satisfaction of
Multibank's liens.
In July 2012, the Riverside County Superior Court entered judgment
in favor of Multibank and against R. Safren and C. Safren, who are
shareholders of the Debtor, jointly and severally in the amount of
$15,732,812. The Judgment has been perfected and Multibank has
obtained a Writ of Execution on the Judgment.
According to Multibank's counsel, Scott R. Albrecht, Esq., at
Samuels, Green & Steel, LLP, in Irvine, California Multibank has a
right to the money or property pursuant to two valid judgment liens
and that any money to be disbursed to R. Safren and C. Safren from
the net proceeds after satisfaction of secured and unsecured claims
from the sale of the Debtor should be applied to satisfaction of
the Liens.
The Motion is scheduled for hearing on June 16, 2015, at 2:00 p.m.
Multibank is represented by:
SCOTT R. ALBRECHT, Esq.
SAMUELS, GREEN & STEEL, LLP
19800 MacArthur Boulevard, Suite 1000
Irvine, CA 92612
Tel: (949) 263-0004
Fax: (949) 263-0005
Email: salbrecht@sgsattorney.com
About The Club at Shenandoah
The Club at Shenandoah Springs Village, Inc., owns The Club At
Shenandoah Springs Village, a golf and leisure resort in Thousand
Palms, a desert region of central California. It filed for Chapter
11 protection (Bankr. C.D. Cal. Case No. 12-36723) on
Dec. 3, 2012.
The Debtor disclosed $31,280,992 in assets and $12,840,954 in
liabilities as of the Chapter 11 filing. Judge Mark D. Houle
presides over the case. Daniel A. Lev, Esq., and Steven Worth,
Esq., at SulmeyerKupetz, in Los Angeles, Calif., represent the
Debtor as counsel.
COLORADO TURKEY NECK: Voluntary Chapter 11 Case Summary
-------------------------------------------------------
Debtor: Colorado Turkey Neck LLC
16001 Road 16
Yellow Jacket, CO 81335
Case No.: 15-15753
Nature of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
District of Colorado (Denver)
Debtor's Counsel: Kevin M. O'Shaughnessy, Esq.
1177 Grant St., Ste. 300
Denver, CO 80203
Tel: 303-860-7333
Email: kevin@totalspeed.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $500,000 to $1 million
The petition was signed by Jerry McMullin, managing member.
The Debtor said it has no unsecured creditors.
A copy of the Chapter 11 petition is available for free at:
http://bankrupt.com/misc/cob15-15753.pdf
CONXXUS LLC: Case Summary & 20 Largest Unsecured Creditors
----------------------------------------------------------
Debtor: Conxxus, LLC
607 South State Street
Jerseyville, IL 62052
Case No.: 15-30829
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Southern District of Illinois (East St Louis)
Judge: Hon. Laura K. Grandy
Debtor's Counsel: Steven M Wallace, Esq.
KUNIN LAW OFFICES LLC
1606 Eastport Plaza Dr, Suite 110
Collinsville, IL 62234
Tel: (618) 215-4803
Fax: (855) 235-1335
Email: swallace@kuninlaw.com
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Barry Goodwin and Carol J. Goodwin,
managers of NOW Wireless LLC, Debtor's manager.
A list of the Debtor's 20 largest unsecured creditors is available
for free at http://bankrupt.com/misc/ilsb15-30829.pdf
DARLING INGREDIENTS: S&P Affirms 'BB+' CCR, Outlook Stable
----------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB+' corporate
credit rating on Dallas-based food and ingredients renderer Darling
Ingredients Inc. The outlook is stable.
At the same time S&P, took these rating actions:
-- S&P assigned a 'BB+' issue-level rating to company's
proposed EUR515.0 million senior unsecured notes due 2022
(issued by Darling Global Finance B.V.) with a recovery
rating of '3', reflecting S&P's expectation of meaningful
(50%-70%, at the lower end of the range) recovery in the
event of a payment default. S&P revised the recovery rating
on the 5.375% senior unsecured notes due 2022 to '3' from
'4', reflecting S&P's expectation of meaningful (50%-70%, at
the lower end of the range) recovery in the event of a
payment default. The company announced it will use proceeds
to repay its EUR600 million term loan.
-- S&P is raising the issue-level ratings on Darling's senior
secured credit facilities, including the $1.0 billion
revolving credit facility, the $200 million term loan A, and
the $600 million term loan B to 'BBB' from 'BBB-'. S&P
revised the recovery rating to '1' from '2', reflecting its
expectation of very high (90% to 100%) recovery in the event
of a payment default.
-- S&P will withdraw ratings on the EUR600 million term loan
upon completion of the refinancing transaction.
"The ratings affirmation reflects our belief that the company is
committed to improving its cash flow ratios despite a delay in
leverage reduction because of a combination of lower revenues and
foreign currency headwinds," said Standard & Poor's credit analyst
Kim Logan.
Darling benefits from its global leadership in rendering animal
byproducts, albeit in a fragmented industry, including improved
geographic diversification as a result of recent acquisitions.
These acquisitions have expanded its geographic footprint and
strengthened its domestic market positions, and are generally
performing well, with overall higher volumes.
Still, the company is exposed to commodity price volatility, and
sales volume are dependent on the availability of raw material
supplies. Although commodity costs do lead to some earnings
cyclicality, the company benefits from a high percentage of
formula-based pricing in many of its products, which mitigates
earnings volatility and exposure to commodity raw material
supplies.
The stable outlook reflects Standard & Poor's expectation that the
company will begin to reduce debt to EBITDA as a result of EBITDA
growth and some debt repayment in 2016 and beyond. S&P expects the
recent foreign exchange headwinds and commodity price deflation to
stabilize, allowing the company to grow sales and improve margins.
DRD TECHNOLOGIES: Has Interim Nod for ServisFirst Cash Collateral
-----------------------------------------------------------------
Judge Clifton R. Jessup, Jr., of the U.S. Bankruptcy Court for the
Northern District of Alabama, Northern Division, gave DRD
Technologies, Inc., interim authority to use cash collateral
securing its prepetition indebtedness.
On Oct. 18, 2011, the Debtor and ServisFirst Bank executed certain
loan documents, whereby ServisFirst extended Debtor a line of
credit in the amount of $2,000,000. The note was extended numerous
times and the maximum line of credit increased to $3,250,000.
As a result of the loan transactions, Debtor currently owes
approximately $3,400,000 to ServisFirst, which is Debtor's largest
creditor. The current approximate book value of the collateral
pledged to ServisFirst is approximately $2,000,000, consisting of
approximately $1,400,000 in accounts receivable and $600,000 in
inventory.
In addition, the Debtor owes other secured creditors $225,000 and
has existing accounts payable in the amount of $350,000.
The Interim Order terminates on June 10, 2015, or if the Debtor
uses the cash collateral for any reason not approved by the Order.
ServisFirst objected to the Cash Collateral Motion, saying it has
substantial concerns, which, if not addressed, will adversely
affect the bank's rights with respect to the Collateral. One of
ServisFirst's concern is the lack of adequate protection proposed
by the Debtor.
ServisFirst is represented by:
Kevin C. Gray, Esq.
Emily J. Chancey, Esq.
MAYNARD, COOPER & GALE, P.C.
Post Office Box 18668
Huntsville, AL 35804
Tel: (256) 551-0171
Fax: (256) 512-0119
E-mail: kgray@maynardcooper.com
echancey@maynardcooper.com
About DRD Technologies
Huntsville, Alabama-based logistics provider DRD Technologies,
Inc., sought Chapter 11 protection (Bankr. N.D. Ala. Case No.
15-81366) in Decatur, Alabama, on May 19, 2015, to halt efforts by
creditor ServisFirst Bank to appoint a receiver.
The Debtor tapped Stuart M. Maples, Esq., at Maples Law Firm, PC,
as counsel.
According to the docket, the Chapter 11 plan and disclosure
statement are due by Sept. 16, 2015. The schedules of assets and
liabilities are due June 2, 2015.
EDWARD SCARBOROUGH: Court Enters Default Judgment Against IBCS
--------------------------------------------------------------
Chief District Judge Jerome B. Simandle granted in part the
Plaintiff's Motion for Default Judgment with respect to Defendant
IBCS Group, Inc. ("IBCS") but denied the motion with respect to
Defendant IBCS Fidelity, Inc. ("Fidelity") in the case captioned
STEVEN GOLIA, Plaintiff, v. IBCS GROUP, INC., d/b/a IBCS GROUP,
IBCS FIDELITY, INC., EDWARD SCARBOROUGH, and YVONNE SCARBOROUGH,
Defendant, CIVIL ACTION NO. 14-2577 (JBS/KMW) (D.N.J.).
An action was filed by Steven Golia for the recovery of unpaid
compensation, benefits, and commissions. Golia moved for default
judgment against Defendants IBCS and Fidelity for failure to answer
or otherwise respond to his Complaint.
In his Memorandum Opinion dated April 27, 2015 and available at
http://is.gd/mTBmpXfrom Leagle.com, Judge Simandle denied
Plaintiff's motion for default judgment with respect to Fidelity
upon finding that the unchallenged facts were insufficient to
provide a basis to exercise specific jurisdiction over Fidelity.
Judge Simandle, however, ruled against IBCS and in favor of Golia
in the amount of $130,655.29, comprised of $130,045.29 in damages
for IBCS's breaches of its Employment and Commission Agreements
with Golia and $610 in costs.
STEVEN GOLIA, Plaintiff, represented by ALAN LEE FRANK, ALAN L.
FRANK LAW ASSOCIATES, P.C..
EDWARD SCARBOROUGH, Defendant, Pro Se.
YVONNE SCARBOROUGH, Defendant, Pro Se.
Edward and Yvonne Scarborough served as directors and officers of
IBCS and Fidelity. Following the Scaboroughs' failure to plead or
otherwise respond to Plaintiff's Complaint, the Court entered
default against them on July 14, 2014. On July 17, 2014, however,
the Scarboroughs filed a joint petition for relief under Chapter 11
of the United States Bankruptcy Code in the United States
Bankruptcy Court for the Middle District of Florida. As a result,
the Court stayed and administratively terminated this action
without prejudice as to them on August 20, 2014.
ESSEX WOODS: Case Summary & Largest Unsecured Creditor
------------------------------------------------------
Debtor: Essex Woods West, LLC
23110 Almond Court
California, MD 20619
Case No.: 15-17471
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
District of Maryland (Greenbelt)
Judge: Hon. Thomas J. Catliota
Debtor's Counsel: Daniel J. Guenther, Esq.
THE LAW OFFICES OF DANIEL J. GUENTHER
41620 Fenwick Street
P.O. Box 623
Leonardtown, MD 20650
Tel: (301) 475-3106
Fax: (301) 475-2192
Email: guentherlaw01@hotmail.com
Estimated Assets: $0 to $50,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Dennis L. Edwards, member.
The Debtor listed PNC Bank as its largest unsecured creditor
holding a claim of $3,350,000.
A full-text copy of the petition is available for free at:
http://bankrupt.com/misc/mdb15-17471.pdf
FJK III PROPERTIES: Case Summary & Largest Unsecured Creditors
--------------------------------------------------------------
Debtor: FJK III Properties Inc
POB 3243
Palm Beach, FL 33480
Case No.: 15-19496
Nature of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Southern District of Florida (West Palm Beach)
Judge: Hon. Paul G. Hyman, Jr.
Debtor's Counsel: Frederick J. Keitel
240 Royal Palm Way
Palm Beach, FL 33480
Tel: 561-300-6864
Estimated Assets: $1 million to $10 million
Estimated Liabilities: $1 million to $10 million
The petition was signed by Frederick J. Keitel, president.
A list of the Debtor's largest unsecured creditors is available for
free at http://bankrupt.com/misc/flsb15-19496.pdf
FJK PROPERTIES: Voluntary Chapter 11 Case Summary
-------------------------------------------------
Debtor: FJK Properties Inc.
POB 3243
Palm Beach, FL 33480
Case No.: 15-19494
Type of Business: Single Asset Real Estate
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
Southern District of Florida (West Palm Beach)
Judge: Hon. Paul G. Hyman, Jr.
Debtor's Counsel: Frederick J. Keitel, Esq.
240 Royal Palm Way
Palm Beach, FL 33480
Tel: 561-300-6864
Estimated Assets: $10 million to $50 million
Estimated Debts: $1 million to $10 million
The Debtor did not include a list of its largest unsecured
creditors when it filed the petition.
FOREST HALL: Case Summary & Largest Unsecured Creditor
------------------------------------------------------
Debtor: Forest Hall, LLC
19290 Pristine Way
Drayden, MD 20630
Case No.: 15-17468
Chapter 11 Petition Date: May 26, 2015
Court: United States Bankruptcy Court
District of Maryland (Greenbelt)
Judge: Hon. Wendelin I. Lipp
Debtor's Counsel: Daniel J. Guenther, Esq.
THE LAW OFFICES OF DANIEL J. GUENTHER
41620 Fenwick Street
P.O. Box 623
Leonardtown, MD 20650
Tel: (301) 475-3106
Fax: (301) 475-2192
Email: guentherlaw01@hotmail.com
Estimated Assets: $0 to $50,000
Estimated Liabilities: $1 million to $10 million
The petition was signed by Dennis Edwards, member.
The Debtor listed PNC Bank as its largest unsecured creditor
holding a claim of $3,350,000.
A full-text copy of the petition is available for free at:
http://bankrupt.com/misc/mdb15-17468.pdf
FRIENDSHIP VILLAGE: Fitch Affirms 'BB-' Rating on $65.5MM Bonds
---------------------------------------------------------------
Fitch Ratings has affirmed the 'BB-' rating on these Illinois
Finance Authority revenue bonds issued on behalf of Friendship
Village of Schaumburg Obligated Group (FVS):
-- $65.5 million series 2005A;
-- $5 million series 2005B;
-- $33.6 million series 2010.
The Rating Outlook is Stable.
SECURITY
The bonds are supported by a pledge of gross revenues, a mortgage
interest in property and improvements, and a debt service reserve.
KEY RATING DRIVERS
ATTRITION MUTES STRONG SALES: Higher than expected attrition of 115
residents in the independent living units (ILUs) dampened the
impact of a strong sales year in fiscal 2015. FVS generated a
total of 154 ILU sales (126 move-ins) in FY 2015 resulting in $16.7
million of gross entrance fees, the highest level in 10 years.
However, occupancy remained flat at 73% due to 115 units being
vacated during the year. As a result, net entrance fee receipts
were approximately $6 million for the year, just below budget.
STEADY COVERAGE: Profitability remained stable year over year due
to continued expense control which offset flat occupancy and a
slight erosion in net entrance fee receipts. As a result, FVS
produced 1.4 times (x) coverage of MADS through the unaudited
fiscal year ended March 31, 2015 compared to 1.5x coverage in the
prior year.
SUFFICIENT LIQUIDITY: FVS's liquidity metrics remain adequate for
the rating level, and are expected to remain steady over the near
term. As of March 31, 2015 FVS had $27.6 million in unrestricted
cash and investments, equating to 211.8 days of cash on hand, a
3.4x cushion ratio and cash to long term debt of 26.4%. Ratios
compare unfavorably to Fitch's below investment grade (BIG) medians
of 233.3 DCOH, 4.9x cushion ratio, and 36.7% cash to debt.
HIGH DEBT BURDEN: FVS's remains significantly leveraged, as
indicated by MADS equal to a high 15.9% of revenues, and debt to
net available of 9.1x through unaudited fiscal 2015. Both are
unfavorable to Fitch's 'BIG' medians of 11.1% MADS as a percent of
revenues and 7.8x debt to net available. Further, revenue-only
MADS coverage remains somewhat light at 0.7x reflecting weak ILU
occupancy.
RATING SENSITIVITIES
IMPROVED OCCUPANCY, COVERAGE: Upward movement in the rating is
possible should FVS continue its stronger ILU sales trend leading
to higher occupancy and stronger debt service coverage. Negative
pressure could occur should FVS occupancy and net entrance fee
levels decline in 2016, suppressing coverage metrics. FVS is
budgeting for healthier net entrance fees near $8 million in fiscal
2016, which would produce 1.7x debt service coverage.
CREDIT PROFILE
Friendship Village of Schaumburg is a Type B continuing care
retirement community (CCRC) currently consisting of 622 independent
living apartments, 28 independent living cottages, 81 assisted
living units, 25 assisted living dementia units, and 248 skilled
nursing beds. The facility is located in Schaumburg, IL,
approximately 30 miles northwest of downtown Chicago. In fiscal
2015 ended March 31 (unaudited), FVS reported total operating
revenues of $50.5 million.
Fitch uses obligated group financial statements in its analysis.
The consolidated entity also includes non-obligated entities
including corporate parent Friendship Senior Options, Friendship
Village Neighborhood Services, Friendship Village of Mill Creek,
and the Foundation. At unaudited fiscal year ended March 31, 2015
the obligated group represented 56.5% of total assets and 77.3% of
total revenues.
STEADY OPERATING RESULTS
For fiscal 2015 (unaudited year ended March 31) FVS produced a
stable 103.1% operating ratio and a 19.2x adjusted net operating
margin, which was steady against prior year results. In addition,
occupancy in both assisted living and skilled nursing remained
solid, at 91.3% and 84.7%, respectively. Still, attrition
suppressed ILU occupancy, which was 73% against a 73.2% prior year
and 74.6% budget. Over the longer term attrition may diminish
given the ongoing reduction in median age at entry for FVS'
residents, which fell to 83.1 years in 2015 from 84.2 years in
2013.
Debt is expected to continue to moderate over the longer term as no
further debt is planned. Operating cash flow is expected to be
sufficient to support ongoing capital needs of approximately $6
million annually which includes ongoing renovation efforts in the
Bridgegate ILUs and assisted living apartments. FVS' average age
of plant is favorable at 10.4 years.
No additional debt is planned.
DEBT PROFILE
As of March 31, 2015, FVS had $104.9 million in total long-term
debt. Its debt structure is 100% fixed rate, and includes $5
million in extendable-rate adjustable securities (EXTRAS). These
bonds were remarketed and reset on Feb. 15, 2014 for 5% on a five
year term (through Feb. 15, 2019). FVS has no swaps.
GEORGETOWN MOBILE: Receiver Seeks Excuse from Property Turnover
---------------------------------------------------------------
CFLane, LLC, the receiver appointed for Georgetown Mobile Estate,
LLC, and U.S. Bank National Association, as Trustee, in Trust for
the holders of COMM 2013-CCRE8 Mortgage Trust Commercial Mortgage
Pass-Through Certificates, asks the U.S. Bankruptcy Court for the
Eastern District of Kentucky, Lexington Division, to excuse the
Receiver from complying with Section 543(b) of the Bankruptcy
Code.
According to the Receiver's counsel, Ellen Arvin Kennedy, Esq., at
Dinsmore & Shohl LLP, in Lexington, Kentucky, CFLane has been
acting as the professional receiver for the Debtor's property since
May 29, 2014. Pursuant to the Receivership Order, CFLane was
given, among others, the authority to take possession of the
Debtor's real and personal property, including a mobile home park
located at 101 Dale Drive, Georgetown, Kentucky.
Ms. Kennedy asserts that removing the Receiver will harm creditors
due to the continued deterioration of the Property and
mismanagement of the Property should it be returned to the Debtor's
control. Ms. Kennedy also asserts that there is cause to excuse
turnover because there is no evidence that a reorganization plan
will be feasible or is likely to be confirmed. She states that
despite the Debtor's unsupported statements as to its hopes to
reorganize, these prospects are dim. If a turnover of the Property
was allowed, it is unlikely that the Debtor could secure
debtor-in-possession financing and would have difficulty managing
operations day to day, Ms. Kennedy tells the Court. There is
little evidence of the Debtor having any ability to carry the
Debtor through reorganization, she adds.
U.S. Bank's counsel, Brian R. Pollock, Esq., at Stites & Harbison,
PLLC, in Louisville, Kentucky, tells the Court that the Debtor's
creditors will be better served by permitting the Receiver to
continue to possess, control, and manage the Mobile Home Park and
use the Noteholder's cash collateral under the terms of the
Receivership Order, rather than by turning over the property to the
Debtor, which has a largely-undisputed history of mismanaging
through engaging in self-dealing in violation of the Debtor's
agreements with the Noteholder, ignoring the Receivership Order,
and operating the Mobile Home Park in violation of Kentucky law.
The Receiver is represented by:
Ellen Arvin Kennedy, Esq.
John M. Spires, Esq.
DINSMORE & SHOHL LLP
250 West Main Street, Suite 1400
Lexington, KY 40507
Tel: (859) 425-1000
Fax: (859) 425-1099
Email: ellen.kennedy@dinsmore.com
john.spires@dinsmore.com
U.S. Bank is represented by:
Brian H. Meldrum, Esq.
Ian T. Ramsey, Esq.
Brian R. Pollock, Esq.
STITES & HARBISON, PLLC
400 West Market Street, Suite 1800
Louisville, KY 40202
Tel: (502) 587-3400
Email: bmeldrum@stites.com
iramsey@stites.com
bpollock@stites.com
About Georgetown Mobile Estates
Georgetown Mobile Estates, LLC, is a Kentucky corporation with
headquarters in Georgetown, Scott County, Kentucky. Originally
incorporated on Jan. 23, 2006, the Company operates a mobile home
park in three areas on the county line of Scott and Fayette,
Kentucky. The park can take up to 504 customers and, historically,
had an occupancy rate of 92%.
Georgetown Mobile Estates filed a Chapter 11 bankruptcy petition
(Bankr. E.D. Ky. Case No. 15-50945) in Lexington, Kentucky, on May
11, 2015, to take back control of the mobile home park from a
receiver. Daniel E. Sexton, the present owner, signed the
petition.
The bankruptcy case is assigned to Judge Tracey N. Wise. The
Debtor estimated $10 million to $50 million in assets and debt.
The Debtor tapped Bunch & Brock of Lexington, Kentucky, as counsel;
Randy Reynolds of Magnum Capital Consultants, LLC, as financial
advisor; Bradford Burgess of The Thayer Group as financial advisor;
and Glen Dellavalle of Dellavalle Management Group as manager of
business operations.
The U.S. trustee overseeing the Chapter 11 case of Georgetown
Mobile Estates LLC appointed three creditors of the company to
serve on the official committee of unsecured creditors.
GOLD RIVER: Hearing on Trustee Motion Continued Until June 3
------------------------------------------------------------
The U.S. Bankruptcy Court for the Central District of California
approved a stipulation continuing until June 3, 2015, at 2:00 p.m.,
the hearing to consider the motion to appoint a Chapter 11 trustee
in the case of Gold River Valley, LLC.
The stipulation was entered between the Debtor and equity security
holders Lana and Elaine Tsang.
The parties have deferred the hearing on the motion several times.
The hearing was previously set for April 1 then continued to April
29 pursuant to a stipulation between the parties.
As reported in the Troubled Company Reporter on Feb. 6, 2015, the
Tsangs, equity security holders, have sought the appointment of a
trustee to oversee the Debtor's bankruptcy case. The Tsangs said
the Debtor needs an independent fiduciary to make appropriate
business decisions, which will hopefully lead to a successful
reorganization, payment in full to all of Debtors creditors, and a
return to equity security holders.
According to the Tsangs, this is a single asset real estate
bankruptcy case filed by Debtor, an entity that was used as a
vehicle to perpetrate a fraud against the Tsangs, creditors, and
tenants who stand to have their leases eliminated. Contrary to
Debtor's resolution of authorization and list of equity security
holders, which were both filed under penalty of perjury in this
case, Sunshine Valley LLC, is not the Debtor's sole member.
Together, the Tsangs own a 40% membership interest in Debtor.
According to the Tsangs, these perjuries reflect the latest of a
series of bad acts orchestrated by Debtor's principal, Benny Ko,
and non-member, third-party, Lucy Gao. Mr. Ko has perpetrated a
fraudulent real estate investment scheme, causing over $3 million
in damages to the Tsangs.
The Tsangs are represented by:
Eric R. McDonough, Esq.
Daniel R. Sable, Esq.
SEYFARTH SHAW LLP
333 S. Hope Street, Suite 3900
Los Angeles, CA 90071
Tel: (213) 270-9600
E-mail: emcdonough@seyfarth.com
dsable@seyfarth.com
- and -
Marianne M. Dickson, Esq.
SEYFARTH SHAW LLP
560 Mission Street, Suite 3100
San Francisco, California 94105
Telephone: (415) 397-2823
E-mail: mdickson@seyfarth.com
About Gold River Valley, LLC
Gold River Valley, LLC, sought Chapter 11 bankruptcy protection
(Bankr. C.D. Cal. Case No. 15-10691) in Los Angeles, on Jan. 16,
2015.
David B. Golubchik, Esq., and Jeffrey S. Kwong, Esq., at Levene,
Neale, Bender, Yoo & Brill L.L.P., represents the Debtor as
counsel.
The Debtor disclosed $12,000,000 in assets and $8,720,911 in
liabilities as of the Chapter 11 filing.
GT ADVANCED: Judge Extends Deadline to Remove Suits to Sept. 2
--------------------------------------------------------------
U.S. Bankruptcy Judge Henry Boroff has given GT Advanced
Technologies Inc. until Sept. 2, 2015, to file notices of removal
of lawsuits involving the company and its affiliates.
About GT Advanced Technologies
Headquartered in Merrimack, New Hampshire, GT Advanced Technologies
Inc. -- http://www.gtat.com/-- produces materials and equipment
for the electronics industry. On Nov. 4, 2013, GTAT announced a
multiyear supply deal with Apple Inc. to produce sapphire glass
material for use in consumer electronics products.
Under the deal, Apple would provide GTAT with a prepayment of
approximately $578 million paid in four installments and, starting
in 2015, GTAT would reimburse Apple for the prepayment over a
five-year period.
GT is a publicly held corporation whose stock was traded on NASDAQ
under the ticker symbol "GTAT." GTAT was de-listed from the NASDAQ
stock exchange in October 2014.
As of June 28, 2014, the GTAT Group's unaudited and consolidated
financial statements reflected assets totaling $1.5 billion and
liabilities totaling $1.3 billion. As of Sept. 29, 2014, GTAT had
$85 million in cash, $84 million of which is unencumbered.
On Oct. 6, 2014, GT Advanced Technologies and eight affiliates
filed voluntary petitions for relief under Chapter 11 of the United
States Bankruptcy Code (Bankr. D.N.H. Lead Case No. 14-11916). GT
sought bankruptcy protection due to a severe liquidity crisis
brought about by its issues with Apple.
The Debtors have tapped Nixon Peabody LLP and Paul Hastings LLP as
attorneys and Kurtzman Carson Consultants LLC as claims and
noticing agent.
The U.S. Trustee has named seven members to the Official Committee
of Unsecured Creditors. The Committee' professionals are Kelley
Drye as its bankruptcy counsel; Devine, Millimet & Branch,
Professional Association as local counsel; EisnerAmper LLP as
financial advisors; and Houlihan Lokey Capital, Inc. as investment
banker.
GTAT has reached a settlement with Apple. The settlement gives
Apple an approved claim for $439 million secured by more than 2,000
sapphire furnaces that GT Advanced owns and has four years to sell,
with proceeds going to Apple. In addition, Apple gets
royalty-free, non-exclusive licenses for GTAT's technology.
HCA INC: S&P Affirms 'BB' Corporate Credit Rating, Outlook Stable
-----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BBB-' issue-level
rating (two notches above the corporate credit rating) to
Nashville-based HCA Inc.'s proposed five-year, $1.0 billion senior
secured term loan A, which is being issued to refinance the
company's two existing term loan A tranches. S&P assigned a '1'
recovery rating to this debt, indicating its expectation of very
high (90% to 100%) recovery for lenders in the event of a payment
default. The issue-level ratings are the same as S&P's ratings on
the existing senior secured debt.
S&P's 'BB' corporate credit rating and stable outlook on HCA
reflects S&P's view that its scale relative to other healthcare
services peers should allow the company to better offset declining
reimbursement rates with cost reduction efforts, and that its scale
and market presence should aid in contract negotiations with
commercial payors. In addition, HCA's business is diversified
beyond inpatient hospital services, with about 38% of revenues
coming from outpatient procedures. These factors are only
partially offset by HCA's exposure to reimbursement pressure as
government and commercial payors seek to control costs, and its
geographic concentration in Texas and Florida, which together
represent about half of the company's revenues. Collectively,
these factors support S&P's assessment of a "satisfactory" business
risk profile.
S&P's ratings on HCA also reflect S&P's view that the company will
maintain leverage around 4x and generate funds from operations
(FFO) to total debt in the mid- to high-teens area, consistent with
the stronger end of an "aggressive" financial risk profile. S&P's
ratings also incorporate its expectation that HCA will generate
around $4.4 billion in operating cash flow in 2015, but S&P expects
the company to continue to invest heavily in capital expenditures,
and to continue to prioritize shareholder return over debt
repayment.
RATINGS LIST
HCA Inc.
Corporate Credit Rating BB/Stable/--
New Rating
HCA Inc.
$1 Bil. Senior Secured Term Loan A BBB-
Recovery Rating 1
HI-CRUSH PARTNERS: S&P Affirms 'B+' CCR, Outlook Stable
-------------------------------------------------------
Standard & Poor's Ratings Services said it affirmed its 'B+'
corporate credit rating on Houston-based Hi-Crush Partnership L.P.
The outlook is stable.
At the same time, S&P raised its issue-level rating on the
company's $200 million Term Loan to 'BB-' from 'B+'. This was the
result of a revision of the recovery rating to '2' from '3', which
indicates S&P's expectation of substantial (70% to 90%; lower half
of the range) recovery in the event of a default.
"The stable rating outlook reflects our view that over the next
year, Hi-Crush's credit measures will remain at levels commensurate
with its rating, despite recent volatility in oil and gas markets,"
said Standard & Poor's credit analyst Chiza Vitta. "We expect debt
to EBITDA to remain below 3x, even if the company were to pursue
small, bolt-on acquisitions that enhance its logistics business."
S&P could lower the rating if it expected leverage to increase and
remain above 5x, either because of a debt-funded acquisition or a
protracted production disruption. S&P could also lower its rating
if the partnership were unable to fund its distribution payments
through distributable cash flow.
A positive rating action would most likely result from an improved
business risk profile assessment. This could take the form of a
growing track record demonstrating the partnership's ability to
fulfill and expand its customer contracts, the successful
integration of acquisitions, and consistent profitability levels
while controlling increases in leverage.
HILL WINE: Trustee Wins Dismissal of Appeal in Suit v. Insiders
---------------------------------------------------------------
District Judge William H. Orrick granted the Plaintiff-Appellee's
Motion to Dismiss in the case captioned LOIS I. BRADY, Plaintiff,
v. TERRY OTTON, et al., Defendants, CASE NO. 15-CV-00757-WHO (N.D.
Cal.)
An appeal was filed by Nancy and Terry Otton upon an order
dismissing their counterclaim in a multiparty adversary proceeding
still pending in the United States Bankruptcy Court for the Norther
District of California. Lois Brady, the bankruptcy trustee for
Hill Wine Company, LLC, moved to dismiss the appeal for lack of
jurisdiction under 28 U.S.C. Section 158.
Hill Wine is owned and operated by Rebecca and Jeffrey Hill. Nancy
Otton is Rebecca Hill's aunt. She and her husband, Terry, loaned
$1.75 million to HWC. The Ottons also personally guaranteed a
$300,000 advance to HWC from Umpqua Bank. The Ottons filed two
proofs of claim in HWC's bankruptcy case: (1) Claim No. 59 for the
$1,659,988.00 allegedly still due on the $1.75 million loan; and
(2) Claim No. 60 in the amount of $320,770.50 for their guaranty of
the Umpqua Bank advance.
On October 15, 2015, Brady filed the adversary proceeding against
both the Ottons and the Hills. Brady alleges that both Ottons are
statutory "insiders" as defined by 11 U.S.C. Sec. 101(31) because
Nancy Otton was the Chief Financial Officer of HWC and Terry Otton
was its Chief Operating Officer. The complaint asserts several
causes of action against the Ottons, including (i) avoidance of
fraudulent transfers, 11 U.S.C. Sections 544(b), 548; (ii)
avoidance of preferential transfers, 11 U.S.C. Sections 547, 550,
551; (iii) usury; (iv) breach of fiduciary duty; and (v) equitable
subordination, 11 U.S.C. Sec. 510(c).
On November 17, 2014, the Ottons counterclaimed against HWC,
alleging (i) breach of contract in connection with the $1.75
million loan (i.e., the subject matter of Claim No. 59); and (ii)
breach of contract and indemnity in connection with their guaranty
of the Umpqua Bank advance (i.e. the subject matter of Claim No.
60). Brady moved to dismiss the counterclaim, arguing, among other
things, that the exclusive means of recovering money damages from a
Chapter 7 bankruptcy estate is through the filing of a proof of
claim.
The bankruptcy court dismissed the counterclaim on February 2,
2015. The Ottons filed a timely notice of appeal.
In an order dated April 27, 2015 available at http://is.gd/aAX8ou
from Leagle.com, Judge Orrick granted Brady's motion to dismiss,
holding that he did not have jurisdiction over the Ottons' appeal.
He agreed with Brady that the order dismissing th Ottons'
counterclaim was not a final order appealable as of right under 28
U.S.C. Section 158(a)(1). He further held that the circumstances
of the case do not warrant interlocutory review under 28 U.S.C.
Section 158(a)(3) and that neither party has identified any other
basis for jurisdiction.
Lois I. Brady, Trustee in Bankruptcy of the Estate of Hill Wine
Company, LLC, Plaintiff, represented by John H. MacConaghy,
MacConaghy and Barnier & John Harrington MacConaghy, Esq.,
MacConaghy & Barnier, PLC.
Terry Otton, and Nancy Otton, Defendants, represented by Gary M.
Kaplan -- gkaplan@fbm.com -- Farella Braun + Martel LLP.
Jeffry Hill, and Rebecca Hill, Defendants, represented by Craig K.
Welch, Law Office of Craig K. Welch.
About Hill Wine Company, LLC
Hill Wine Company, LLC, was a winery based in Napa County,
California owned and operated by Rebecca and Jeffrey Hill. Hill
Wine filed for Chapter 11 bankruptcy (Bankr. N.D. Cal. Case No.
14-10680) on May 1, 2014. Judge Alan Jaroslovsky presided over the
case. Michael C. Fallon, Esq., at Law Offices of Michael C.
Fallon, served as counsel to the Chapter 11 debtor. In its
petition, Hill Wine estimated $0 to $50,000 in assets and $1
million to $10 million in liabilities. The petition was signed by
Gordon Monroe, CEO and managing member. A list of its 20 largest
unsecured creditors is available for free at
http://bankrupt.com/misc/canb14-10680.pdf
The bankruptcy case was converted to a Chapter 7 liquidation
proceeding shortly thereafter.
HOLY HILL: Ch. 11 Trustee Inks Agreement with Parker Mills
----------------------------------------------------------
Richard J. Laski, the Chapter 11 trustee for Holy Hill Community
Church, asks the U.S. Bankruptcy Court Central District of
California, Los Angeles Division, to approve the settlement
agreement with Parker Mills LLP.
According to the Chapter 11 Trustee's counsel, Andy S. Kong, Esq.,
at Arent Fox LLP, in Los Angeles, California, the Compromise is in
the best interest of the Estate and is an exercise of the Trustee's
reasonable business judgment.
The compromise will resolve Parker Mill's secured claim, claim no.
11-1, in the amount of $883,195. The Compromise will also resolve
any outstanding controversies relevant to the Proof of Claim and
any and all claims and controversies between the Parties.
The Chapter 11 Trustee is represented by:
Aram Ordubegian, Esq.
Andy S. Kong, Esq.
ARENT FOX LLP
555 West Fifth Street, 48th Floor
Los Angeles, CA 90013-1065
Tel: 213.629.7400
Fax: 213.629.7401
Email: aram.ordubegian@arentfox.com
andy.kong@arentfox.com
About Holy Hill
Holly Hill Community Church, aka Holy Hill Community Church, a
protestant church in Los Angeles, filed for Chapter 11 protection
(Bankr. C.D. Cal. Case No. 14-21070) on June 5, 2014. In its
Petition, Holly Hill, a California non-profit corporation
incorporated for the purposes of conducting religious activities
as a protestant Christian church, disclosed $35.4 million in total
assets and $16.7 million in total liabilities.
John Jenchun Suh, the pastor and CEO of the church, signed the
bankruptcy petition. W. Dan Lee of the Lee Law Offices, in Los
Angeles, is representing the Debtor as counsel. Judge Julia W.
Brand presides over the case.
Richard J. Laski has been appointed to serve as Chapter 11 trustee
in the Debtor's case. The Trustee has tapped Arent Fox LLP to
serve as his bankruptcy counsel, and Wilshire Partners of CA, LLC,
as accountant.
HOLY HILL: Ch. 11 Trustee Seeks Approval of Deal with Carl Sohn
----------------------------------------------------------------
Richard J. Laski, the Chapter 11 trustee for Holy Hill Community
Church, asks the U.S. Bankruptcy Court Central District of
California, Los Angeles Division, to approve the settlement
agreement with The Law Offices of Carl J. Sohn.
The Chapter 11 Trustee's counsel, Andy S. Kong, Esq., at Arent Fox
LLP, in Los Angeles, California, tells the Court that the
compromise is in the best interest of the estate and is an exercise
of the Chapter 11 Trustee's reasonable business judgment.
The compromise, according to Mr. Kong, will resolve Sohn's secured
claim, claim no. 10-1, in the amount of $1,303,804. The Compromise
will also resolve any outstanding controversies relevant to the
Proof of Claim and any and all claims and controversies between the
Parties.
The Chapter 11 Trustee is represented by:
Aram Ordubegian, Esq.
Andy S. Kong, Esq.
ARENT FOX LLP
555 West Fifth Street, 48th Floor
Los Angeles, CA 90013-1065
Tel: 213.629.7400
Fax: 213.629.7401
Email: aram.ordubegian@arentfox.com
andy.kong@arentfox.com
About Holy Hill
Holly Hill Community Church, aka Holy Hill Community Church, a
protestant church in Los Angeles, filed for Chapter 11 protection
(Bankr. C.D. Cal. Case No. 14-21070) on June 5, 2014. In its
Petition, Holly Hill, a California non-profit corporation
incorporated for the purposes of conducting religious activities
as a protestant Christian church, disclosed $35.4 million in total
assets and $16.7 million in total liabilities.
John Jenchun Suh, the pastor and CEO of the church, signed the
bankruptcy petition. W. Dan Lee of the Lee Law Offices, in Los
Angeles, is representing the Debtor as counsel. Judge Julia W.
Brand presides over the case.
Richard J. Laski has been appointed to serve as Chapter 11 trustee
in the Debtor's case. The Trustee has tapped Arent Fox LLP to
serve as his bankruptcy counsel, and Wilshire Partners of CA, LLC,
as accountant.
I.E.C. RENTALS: Wants Law Firm to Turnover $87,282
--------------------------------------------------
I.E.C. Rentals, Inc., asks the U.S. Bankruptcy Court for the Middle
District of Florida, Fort Myers Division, to direct The Law Offices
of John F. Hooley, P.A., to turn over the funds it held.
The Debtor's counsel, Joe M. Grant, Esq., at Marshall Socarras
Grant, P.L., in Boca Raton, Florida, relates that the law firm
currently has custody of $87,282, which was distributed on March 3,
2015, by Ivy Jean Nebus as a result of an order made by the
arbitrator in an arbitration concerning the Debtor and Nebus'
dispute over the issuance of distributions from their partnership,
Rock Creek Campgrounds Phase II.
Mr. Grant asserts that the funds form part of the property of the
bankruptcy estate pursuant to Section 541(a) of the Bankruptcy Code
when the Debtor filed its petition for relief under Chapter 11.
Mr. Grant further asserts that the law firm is ready, willing, and
able to turn over the funds, pending the Court's approval of the
same.
The Debtor is represented by:
Joe M. Grant, Esq.
Stephen J. Leary, Esq.
MARSHALL SOCARRAS GRANT, P.L.
197 S. Federal Highway, Suite 300
Boca Raton, FL 33432
Tel: 561.361.1000
Fax: 561.672.7581
Email: jgrant@msglaw.com
sleary@msglaw.com
About I.E.C. Rentals
I.E.C. Rentals, Inc., sought Chapter 11 protection (Bankr. M.D.
Fla. Case No. 15-02491) in Ft. Myers, Florida, on March 12, 2015,
without stating a reason.
Naples, Florida-based I.E.C. Rentals estimated $10 million to $50
million in assets and less than $10 million in debt.
According to the docket, the Chapter 11 plan and disclosure
statement are due by July 10, 2015.
Robert E. Cadenhead signed the petition as director. The Debtor
is represented by Joey M Grant, Esq., at Marshall Socarras Grant,
in Boca Raton, Florida, as counsel.
LANCASTER FINANCING: S&P Raises Rating on School TABs From BB-
--------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term rating on
Lancaster Financing Authority, Calif.'s series 2004 and 2006 school
district projects tax allocation bonds (school TABs), issued for
Lancaster Redevelopment Agency's (RDA) project area No. 5 (PA No.
5) and project area No. 6 (PA No. 6) to 'BBB' from
'BB-'. The outlook is stable.
"The upgrade reflects management's reserving enough funds to cover
the Successor Agency (SA) to the Lancaster RDA's semiannual debt
service payments and increases in assessed values (AV) in the past
two years," said Standard & Poor's credit analyst Michael Stock.
The rating reflects what S&P views as the SA's:
-- Low semiannual debt service coverage of 1.06x in the second
half of the calendar year.
This weakness is partially offset by S&P's opinion of the PAs':
-- 12% increase in AV for fiscal 2015,
-- Moderate 0.21 volatility ratio, and
-- Relatively diverse leading 10 taxpayers representing only
5.0% of incremental AV across the two PAs.
The stable outlook reflects S&P's opinion of the bonds' fully
funded debt service reserve fund and stabilized AV within the PAs.
Should the agency need to draw on the debt service reserve for the
bonds due to the mismanagement of its ROPS, S&P could lower the
rating. Should management fully reserve for a full bond year as
required by the SA's indenture, S&P could raise the rating.
MEGA RV: U.S. Trustee Seeks Dismissal or Conversion of Case
-----------------------------------------------------------
Peter C. Anderson, United States Trustee for Region 16, asks the
U.S. Bankruptcy Court Central District of California, Santa Ana
Division, to dismiss the Chapter 11 case of Mega RV Corp., or
converting the case to one under Chapter 7 of the Bankruptcy Code.
The U.S. Trustee seeks the dismissal or the conversion of the
Chapter 11 case to one under Chapter 7 for the following reasons:
(1) the Debtor has failed to file Monthly Operating Reports for the
months of March and April 2015; (2) the Debtor has not paid the
U.S. Trustee quarterly fees for the first quarter of 2015; and (3)
the Debtor's postpetition debts exceed the cash it has on hand as
of February 28, 2015, by hundreds of thousands of dollars.
The U.S. Trustee also asks the Court to fix any Quarterly Fees due
and payable to it at the time of the hearing of the Motion and
grant judgment in its favor for said fees.
The Motion is scheduled for hearing on June 22, 2015, at 2:00 p.m.
The U.S. Trustee is represented by:
Frank Cadigan, Esq.
Assistant U.S. Trustee
OFFICE OF THE UNITED STATES TRUSTEE
Ronald Reagan Federal Building & U.S. Courthouse
411 West Fourth Street, Suite 9041
Santa Ana, CA 92701-8000
Tel: (714) 338-3400
Fax: (714) 338-3421
Email: frank.cadigan@usdoj.gov
About Mega RV Corp.
Mega RV Corp. filed a Chapter 11 bankruptcy petition (Bankr. C.D.
Cal. Case No. 14-13770) on June 15, 2014. Judge Mark S Wallace
presides over the case. The Debtor estimated assets and
liabilities of at least $10 million. Goe & Forsythe, LLP, serves
as the Debtor's counsel. Greenberg Glusker Fields Claman &
Machtinger LLP represents the Official Committee of Unsecured
Creditors.
PATRIOT COAL: U.S. Trustee Forms Creditors Committee
----------------------------------------------------
The U.S. trustee overseeing the Chapter 11 case of Patriot Coal
Corp. appointed seven creditors of the company to serve on the
official committee of unsecured creditors:
(1) U.S. Bank National Association, as Trustee
Attn: Laura L. Moran
One Federal Street
Mail Station: EX-MA-FED
Boston, MA 02110
Phone: 617-603-6429
E-mail: laura.moran@usbank.com
(2) United Mine Workers of America
Attn: Grant Crandall, General Counsel
18354 Quantico Gateway Drive
Suite 200
Triangle, VA 22172
Phone: 703-291-2400
E-mail: gcrandall@umwa.org
(3) United Mine Workers of America 1974
Pension Plan and Trust
Attn: David Allen, General Counsel
2121 K Street, NW
Washington, DC 20037
Phone: 202-521-2222
E-mail: dallen@UMWAFunds.org
(4) Raleigh Mine & Industrial
Attn.: S. R. (Dick) Smith
P.O. Box 72
Mount Hope, WV 25880
Phone: 304-562-6383
Alternate Phone: 304-255-1416
E-mail: srsmith@raleighmine.com
(5) Strata Mine Services, LLC
Attn: Stephen Moss
8995 Roswell Road
Sandy Springs, GA 30338
Phone: 770-321-5253
E-mail: smoss@strataproducts.com
(6) Enviromine, Inc.
Attn: David McCombie
4332 1st Avenue
Nitro, WV 25143
Phone: 814-629-7118, ext 12
E-mail: Dave.McCombie@enviromineusa.com
(7) Crown Parts & Machine, Inc.
Attn.: Michael Coffey
1733 Highway 87 East
Billings, MT 59101
Phone: 406-896-3546
E-mail: mcoffey@h-eparts.com
Official creditors' committees have the right to employ legal and
accounting professionals and financial advisors, at a debtor's
expense. They may investigate the debtor's business and financial
affairs. Importantly, official committees serve as fiduciaries to
the general population of creditors they represent.
About Patriot Coal
Patriot Coal Corporation is a producer and marketer of coal in the
United States. Patriot and its subsidiaries control 1.4 billion
tons of proven and probable coal reserves -- including owned and
leased assets in the Central Appalachia basin (in West Virginia and
Ohio) and Southern Illinois basin (in Kentucky and Illinois)
–- and their operations consist of eight active mining complexes
in West Virginia.
Patriot Coal first sought Chapter 11 protection on July 9, 2012,
and, on Dec. 18, 2013, won approval of its bankruptcy-exit plan
from the U.S. Bankruptcy Court for the Eastern District of
Missouri. The plan turned over most of the ownership of the
company to bondholders that include New York hedge fund Knighthead
Capital Management LLC. The linchpins of the plan were a global
settlement among the Debtors, the United Mine Workers of America,
and two third parties -- Peabody Energy Corporation and Arch Coal,
Inc. -- and a commitment by a consortium of creditors, led by
Knighthead, to backstop two rights offerings that funded the plan.
Patriot Coal Corporation and its subsidiaries commenced new Chapter
11 cases (Bankr. E.D. Va. Lead Case No. 15-32450) in Richmond,
Virginia, on May 12, 2015. The cases are assigned to Judge Keith
L. Phillips.
The Debtors tapped Kirkland & Ellis LLP as counsel; Kutak Rock
L.L.P., as co-counsel; Centerview Partners LLC as investment
bankers; Alvarez & Marsal North America, LLC, as restructuring
advisors; and Prime Clerk LLC, as claims and administrative agent.
Patriot Coal estimated more than $1 billion in assets and debt.
PETTERS CO: Lenders' Appeals on Estate Consolidation Dismissed
--------------------------------------------------------------
District Judge Patrick J. Schiltz dismissed the appeals filed by
four groups of lenders in the cases:
-- WESTLB AG, Appellant, v. DOUGLAS A. KELLEY, Chapter 11
Trustee; UNSECURED CREDITORS COMMITTEE, Appellees.
-- OPPORTUNITY FINANCE, LLC; OPPORTUNITY FINANCE
SECURITIZATION, LLC; OPPORTUNITY FINANCE SECURITIZATION II, LLC;
OPPORTUNITY FINANCE SECURITIZATION III, LLC; INTERNATIONAL
INVESTMENT OPPORTUNITIES, LLC; SABES FAMILY FOUNDATION; SABES
MINNESOTA LIMITED PARTNERSHIP; ROBERT W. SABES; JANET F. SABES; JON
R. SABES; STEVEN SABES, Appellants, v. DOUGLAS A. KELLEY, Chapter
11 Trustee; UNSECURED CREDITORS COMMITTEE, Appellees.
-- DZ BANK AG DEUTSCHE ZENTRAL-GENOSSENSCHAFTSBANK, FRANKFURT
AM MAIN, Appellant, v. DOUGLAS A. KELLEY, Chapter 11 Trustee;
UNSECURED CREDITORS COMMITTEE, Appellees.
-- EPSILON GLOBAL ACTIVE VALUE FUND I-B LTD.; EPSILON GLOBAL
ACTIVE VALUE FUND II, L.P.; EPSILON GLOBAL ACTIVE VALUE FUND II-B,
L.P.; EPSILON GLOBAL ACTIVE VALUE FUND II-B, LTD.; EPSILON GLOBAL
ACTIVE VALUE FUND III LTD.; EPSILON GLOBAL ACTIVE VALUE FUND LTD.;
EPSILON GLOBAL ACTIVE VALUE FUND, L.P.; EPSILON GLOBAL ASSET
MANAGEMENT LTD.; EPSILON GLOBAL MASTER FUND II, L.P., a/k/a Epsilon
Global Master Fund II, L.P., Sub. 1; EPSILON GLOBAL MASTER FUND,
L.P.; EPSILON STRUCTURED STRATEGIES MASTER FUND, L.P., f/k/a
Epsilon Global Master Fund III Structured Strategies, L.P.; EPSILON
INVESTMENT MANAGEMENT, LLC; STAFFORD TOWN LTD.; WESTFORD ASSET
MANAGEMENT, LLC; WESTFORD GLOBAL ASSET MANAGEMENT LTD.; WESTFORD
SPECIAL SITUATIONS FUND LTD.; WESTFORD SPECIAL SITUATIONS FUND,
L.P.; WESTFORD SPECIAL SITUATIONS MASTER FUND, L.P.; STEVE G.
STEVANOVICH, Appellants, v. DOUGLAS A. KELLEY, Chapter 11 Trustee;
UNSECURED CREDITORS COMMITTEE, Appellees
CASE NOS. 13-CV-3611 (PJS), 13-CV-3614 (PJS), 13-CV-3616 (PJS),
13-CV-3618 (PJS) (D. Minn.).
Appellants sought a review of the November 22, 2013 order issued by
Chief United States Bankruptcy Judge Gregory F. Kishel granting the
trustee's motion to substantively consolidate nine bankruptcy
estates -- of Petters Company, Inc. and eight "special-purpose
entities" wholly owned and controlled by PCI or Thomas J. Petters.
These entities sought bankruptcy protection in October 2008 shortly
after an insider reported to the FBI that Petters was running a
multi-billion-dollar Ponzi scheme through PCI. Petters was
eventually convicted of 20 counts of fraud, conspiracy, and money
laundering and was sentenced to 50 years' imprisonment for his role
in what turned out to be "the largest case of investor fraud in
Minnesota history and one of the largest in United States history."
Appellants are lenders who extended financing to one or more of the
SPEs either directly or indirectly through one of the other
lenders. All of the appellants were net winners from the Ponzi
scheme. In other words, appellants not only regained their initial
investments in the SPEs, but they also garnered tens or even
hundreds of millions of dollars in profits -- profits that were
funded with money stolen from other investors. Because they were
net winners, none of the appellants has filed a proof of claim in
the bankruptcy proceeding. Nor would there appear to be anything
for appellants to claim; at the time of the FBI's raid in September
2008, none of the SPEs had any assets.
Appellants seek review of Judge Kishel's order granting the
trustee's motion for substantive consolidation of PCI and the
SPEs.
Appellees -- the bankruptcy trustee and the unsecured creditors
committee -- moved to dismiss the appeals on the basis that
appellants lack standing to appeal.
In granting the motion to dismiss, Judge Schiltz held that the fact
that Judge Kishel's substantive-consolidation order may have an
impact on appellants' ability to defend themselves in avoidance
actions does not give appellants standing to appeal that order. He
also held that appellants' harm, that is if they are eventually
found liable in the avoidance actions and would then file claims
against the estate that are detrimentally affected by the
substantive-consolidation order, is too contingent and indirect to
grant them status as "persons aggrieved."
A copy of the April 23, 2015 order is available at
http://is.gd/jwCbhvfrom Leagle.com.
Patrick J. McLaughlin -- mclaughlin.patrick@dorsey.com -- and
Thomas O. Kelly III -- kelly.tom@dorsey.com -- DORSEY & WHITNEY
LLP, for appellant in Case No. 13-CV-3611.
Kannon K. Shanmugam -- kshanmugam@wc.com -- Joseph G. Petrosinelli
-- jpetrosinelli@wc.com -- and Jonathan M. Landy -- jlandy@wc.com
-- WILLIAMS & CONNOLLY LLP -- John R. McDonald --
jmcdonald@briggs.com -- and Kari S. Berman -- kberman@briggs.com
-- BRIGGS AND MORGAN, P.A., for appellants in Case No. 13-CV-3614.
H. Peter Haveles, Jr. -- peter.haveles@kayescholer.com -- KAYE
SCHOLER LLP; Thomas H. Boyd -- tboyd@winthrop.com -- and Michael A.
Rosow -- mrosow@winthrop.com -- WINTHROP & WEINSTINE, P.A., for
appellant in Case No. 13-CV-3616.
Robert T. Kugler -- robert.kugler@stinsonleonard.com -- and Bryant
D. Tchida -- bryant.tchida@stinsonleonard.com -- STINSON LEONARD
STREET LLP, for appellants in Case No. 13-CV-3618.
Mark D. Larsen -- mlarsen@lindquist.com -- Kirstin D. Kanski --
kkanski@lindquist.com -- Daryle L. Uphoff -- duphoff@lindquist.com
-- James A. Lodoen -- jlodoen@lindquist.com -- Terrence J. Fleming
-- tfleming@lindquist.com -- and Adam C. Ballinger --
aballinger@lindquist.com -- LINDQUIST & VENNUM LLP, for appellee
Douglas A. Kelley.
David E. Runck -- david.runck@fmjlaw.com -- and Lorie A. Klein --
lorie.klein@fmjlaw.com -- FAFINSKI MARK & JOHNSON, PA, for appellee
Unsecured Creditors Committee.
About Petters Company
Based in Minnetonka, Minn., Petters Group Worldwide LLC is a
collection of some 20 companies, most of which make and market
consumer products. It also works with existing brands through
licensing agreements to further extend those brands into new
product lines and markets. Holdings include Fingerhut (consumer
products via its catalog and Web site), SoniqCast (maker of
portable, WiFi MP3 devices), leading instant film and camera
company Polaroid (purchased for $426 million in 2005), Sun Country
Airlines (acquired in 2006), and Enable Holdings (online
marketplace and auction for consumers and manufacturers' overstock
inventory). Founder and chairman Tom Petters formed the company in
1988.
Petters Company, Inc., is the financing and capital-raising unit of
Petters Group Worldwide.
Thomas Petters, the founder and former CEO of Petters Group, has
been indicted and a criminal proceeding against him is proceeding
in the U.S. District Court for the District of Minnesota.
Petters Company, Petters Group Worldwide and eight other
affiliates filed separate petitions for Chapter 11 protection
(Bankr. D. Minn. Lead Case No. 08-45257) on Oct. 11, 2008. In its
petition, Petters Company estimated its debts at $500 million and
$1 billion. Parent Petters Group Worldwide estimated its debts at
not more than $50,000.
Petters Aviation, LLC, and affiliates MN Airlines, LLC, doing
business as Sun Country Airlines, Inc., and MN Airline Holdings,
Inc., filed separate petitions for Chapter 11 bankruptcy protection
(Bankr. D. Minn. Case Nos. 08-45136, 08-35197 and 08-35198) on Oct.
6, 2008. Petters Aviation is a wholly owned unit of Thomas Petters
Inc. and owner of MN Airline Holdings, Sun Country's parent
company.
The Official Committee of Unsecured Creditors is represented by
David E. Runck, Esq., Lorie A. Klein, Esq., at FAFINSKI MARK &
JOHNSON, P.A.
Trustee Douglas A. Kelley is represented by James A. Lodoen, Esq.,
Mark D. Larsen, Esq., Kirstin D. Kanski, Esq., Adam C. Ballinger,
Esq., at Lindquist & Vennum LLP.
PLATTSBURG SUITES: Bid to Appoint Chapter 11 Trustee Withdrawn
--------------------------------------------------------------
Plattsburgh Suites, LLC, notified the U.S. Bankruptcy Court for the
Northern District of New York of the withdrawal of the motion to
appoint a Chapter 11 trustee in its case. The filing noted that
compelling reasons for the motion was absent.
As reported in the Troubled Company Reporter on March 13, 2015,
William K. Harrington, the U.S. Trustee for Region 2, had asked the
Court to enter an order directing the appointment of a Chapter 11
trustee in the case of the Debtor for "cause" shown and as being in
the interests of creditors. The U.S. Trustee noted that the Debtor
has not had possession of its assets since Nov. 26, 2013 when a
receiver was appointed. The receiver was appointed as a result of
Stabilis Fund II, LLC v.
Plattsburgh Suites, LLC, et al. The creditor obtained a judgment
of foreclosure. The receiver is Jonathan B. Schultz.
About the Debtor
Plattsburgh Suites, LLC, owns one parcel of real estate, an
off-campus student housing complex adjacent to SUNY Plattsburgh.
The property has been in a possession of a receiver since November
2013.
Plattsburgh Suites filed for Chapter 11 protection (Bankr. N.D.N.Y.
Case No. 15-10077) in Albany, New York, on Jan. 16, 2015,
disclosing $32.06 million in liabilities. The case is assigned to
Judge Robert E. Littlefield Jr. The Debtor has tapped Richard L.
Weisz, Esq., at Hodgson Russ LLP, in Albany, New York, as counsel.
In an amended schedules, the Debtor disclosed $15,700,000 in assets
and $32,088,977 in liabilities as of the Chapter 11 filin
PLATTSBURG SUITES: Insists It's Entitled to Use Rents
-----------------------------------------------------
Plattsburgh Suites, LLC, and lender Stabilis Fund II LLC exchanged
statements in relation to Stabilis Fund's motion to dismiss the
Debtor's Chapter 11 case, or for relief from the automatic stay.
The Debtor, in response to Stabilis Fund's motion, stated that the
rental income is estate property and can be used as cash
collateral. The Debtor also said that Stabilis Fund's claim that
the Debtor is unable to adequately protect its interest is
incorrect.
On April 6, 2015, Stabilis Fund, to further support its motion to
dismiss, asserted that the postpetition rents, profits and proceeds
of the property may not be used to fund any proposed plan of
reorganization. In the absence of any other unencumbered assets or
source of income, Stabilis asserted that any plan is infeasible.
On March 20, the Debtor filed a memorandum of law in opposition to
motion to dismiss. The Debtor opposed the motion and submitted
that the motion was based on an improper interpretation of
applicable New York law and on facts not yet established.
In this relation, the Debtor requested that the Court deny the
motion upon finding that the plan was not filed in bad faith,
reorganization is possible and there is no cause to grant any
relief to Stabilis Fund.
The Debtor asserted that the proposed payment of $73,300 per month
to Stabilis Fund while maintaining and operating the student
residence property adequately protects Stabilis Fund's interests.
The Debtor also said that it believes that if it keeps ownership of
the premises, it will be able to successfully reorganize.
Stabilis Fund, in its motion, has asserted that the Debtor's Plan
is not feasible and is flawed because it relies on the Debtor's use
of both prepetition and postpetition rents. Stabilis Fund asserted
that the Debtor is not entitled to use the rents because of the
absolute assignment executed by the Debtor prepetition.
The Debtor and lender are parties to a construction loan and
permanent agreement dated May 21, 2009, originally between the
Debtor and KeyBank, National Association (the original lender),
filed in the Clinton County Clerk's Office on June 4, 2009, under
File No. 2009-42597. The loan is evidenced by, among other things,
a certain promissory note dated as of May 21, 2009, made by the
Debtor in the maximum principal amount of $15,687,000. The note
matured by its terms on Dec. 31, 2011, but remains unpaid. The
lender sought to foreclose its interest in all of the Debtor's
assets. A foreclosure sale scheduled to occur on Jan. 29, 2015,
prompted the bankruptcy filing.
About the Debtor
Plattsburgh Suites, LLC, owns one parcel of real estate, an
off-campus student housing complex adjacent to SUNY Plattsburgh.
The property has been in a possession of a receiver since November
2013.
Plattsburgh Suites filed for Chapter 11 protection (Bankr. N.D.N.Y.
Case No. 15-10077) in Albany, New York, on Jan. 16, 2015,
disclosing $32.06 million in liabilities. The case is assigned to
Judge Robert E. Littlefield Jr. The Debtor has tapped Richard L.
Weisz, Esq., at Hodgson Russ LLP, in Albany, New York, as counsel.
In its schedules, as amended, the Debtor disclosed $15,700,000 in
assets and $32,088,977 in liabilities as of the Chapter 11 filing.
PORTLAND NATURAL: S&P Raises Sr. Secured Debt Rating From BB+
-------------------------------------------------------------
Standard & Poor's Ratings Services raised its senior secured debt
rating on Portland Natural Gas Transmission System (PNGTS) to
'BBB-' from 'BB+'. The outlook is stable.
"The rating action reflects our expectation that PNGTS will
generate higher debt service coverage ratios [DSCRs] than
previously assumed due to the settlement of its outstanding rate
cases from 2008 and 2010," said Standard & Poor's credit analyst
Nora Pickens. Per the Federal Energy Regulatory Commission's
(FERC) ruling, long-term take-or-pay rates have been set at
$0.85/dekatherm compared with current collections of
$1.32/dekatherm. The project has maintained a cash reserve that
will essentially cover the refunds owed to shippers as a result of
this order. As a result, S&P has updated its base-case projections
to reflect its increased confidence that the project will collect
$0.85/dekatherm from shippers going forward and no longer reserve
approximately $20 million per year for accrued rate refund
liabilities. These assumptions lead to higher average DSCRs of
around 1.9x compared with S&P's prior expectations of 1.4x.
The stable rating outlook on PNGTS' debt reflects S&P's view that
steady cash flows from transportation agreements will result in
average DSCRs of about 1.9x through 2018.
Apart from a ratings downgrade of revenue counterparty Bay State
Gas Co., S&P could consider a downgrade if it expects DSCRs will
fall below 1.4x for more than a year. This could occur if the
pipeline experiences higher-than-expected costs or is unavailable
for shipment such that no payments would be made under the take or
pay contracts.
S&P would not raise its rating on PNGTS unless we upgraded Bay
State Gas Co.
PRESBYTERIAN VILLAGES: Fitch Assigns 'BB+' Rating on $30.5MM Bonds
------------------------------------------------------------------
Fitch Ratings has assigned a 'BB+' rating to the Presbyterian
Villages of Michigan Obligated Group (PVM OG) bonds:
-- $30.5 million Michigan Finance Authority Hospital revenue
and refunding bonds (Presbyterian Villages of Michigan)
series 2015.
Simultaneously, Fitch affirms approximately $28 million Michigan
State Hospital Finance Authority (Presbyterian Villages of Michigan
Obligated Group) revenue and refunding bonds series 2005 at 'BB+'.
The Rating Outlook is Stable.
The series 2015 bonds are expected to be issued as fixed rate debt.
Proceeds will be used to refund the outstanding series 2005 bonds,
provide $2.0 million for projects at PVM OG's East Harbor campus,
fund a debt service reserve fund and pay costs of issuance.
SECURITY
Bonds are secured by a pledge of unrestricted receivables, a
mortgage on certain properties, and debt service reserve fund.
KEY RATING DRIVERS
STRATEGIC DIVESTITURE AND OG RESTRUCTURING: PVM is restructuring
its obligated group (OG), as part of the series 2015 financing, to
exclude the 110 assisted living (AL) units, of which 56 are
staffed, and 88 skilled nursing (SN) units at its Redford campus.
The transaction is expected to close in Sept. 2015. Fitch believes
the sale should result in improved operations and debt service
coverage.
ADEQUATE LIQUIDITY: Fitch believes that PVM OG's liquidity is
adequate for the rating level for a rental-only contract
community.
MODEST COVERAGE: PVM OG's coverage of pro forma maximum annual debt
service was strong in 2013 and 2014 at 2.7x and 2.0x, respectively.
However, coverage metrics were enhanced by one-time items
including the receipt of $2.3 million tax credit in 2013 and a $1.4
million gain on sale of independent living (IL) units in 2014 to a
related entity. Excluding one-times, debt service coverage of pro
forma MADS was a modest 1.5x and 1.3x in 2013 and 2014,
respectively, consistent with years prior.
OCCUPANCY UNCHANGED: Current occupancy is improved, with 88%
occupancy in PVM's independent living units at the interim March
31, 2015, up from 83% year prior. However, Fitch notes that
improvement is partially a result of units at Westland campus being
taken offline in 2015. Occupancy remains stronger at East Harbor
campus.
RATING SENSITIVITIES
ORGANIC GROWTH IN LIQUIDITY: Presbyterian Villages of Michigan
Obligated Group's cash growth over the last two years has been
driven by one-time items. A demonstrated ability to grow liquidity
from operations could lead to positive rating movement over the
medium term.
EXECUTION RISKS: Presbyterian Villages of Michigan Obligated
Group's ability to divest successfully its Redford operations,
invest in East Harbor and improve overall profitability may lead to
positive rating momentum.
LIMITED DEBT CAPACITY: Presbyterian Villages of Michigan Obligated
Group has limited capacity for additional debt without a
commensurate improvement in profitability. The financing will be
reviewed at time of issuance and, if beyond Fitch's expectations of
a moderate increase in indebtedness, may negatively affect the
rating.
CREDIT PROFILE
Headquartered in Southfield, MI, PVM OG consists of PVM Corporate,
a foundation, and rental continuing care retirement communities in
Westland and Chesterfield Township, MI, and an entity that is a
general partner in a PVM non-OG affordable housing campus.
Additionally, PVM has rental continuing care units at Redford which
are excluded property from the OG and for which a purchase
agreement has been executed, discussed below. Fitch's analysis is
based on PVM's historic obligated entity, which contained the
Redford property.
Currently, the two OG campuses total 289 independent rental units,
126 assisted living units, and 90 skilled nursing beds. PVM
obligated group reported $39 million in operating revenue in 2014.
In addition, PVM has an ownership interest in approximately 1,700
independent living and assisted living units through non-obligated
entities, most of which it manages.
PLAN OF FINANCE
The series 2015 financing is expected to refund PVM OG's
outstanding series 2005 bonds and provide funds for construction of
a rehabilitation center, renovation of memory loss units, and
reimbursement for routine capital expenditures at PVM OG's East
Harbor campus. Simultaneous to the current offering, PVM OG is
refinancing its bank debt with a $2.87 million one-year bank loan
with Huntington National Bank, which is expected to hold a mortgage
and first lien on unrestricted receivable on certain non-OG
property at East Harbor and Thome River Neighborhood.
Expected key financial covenants are 100 DCOH, tested semiannually,
and 1.2x debt service coverage, tested annually. PVM OG covenants
to provide quarterly financial and utilization data within 45 days
of Q1 through Q3 close and 90 days of year end.
SALE OF REDFORD PROPERTY
Concurrently, PVM is selling its AL, memory care, and SN units in
Redford to a strategic buyer, Advantage Management Group. After
the sale, Presbyterian Villages of Michigan will continue to
operate non-OG affordable housing on the Redford campus. The sale
process has entered due diligence phase and will require
certificate of need approval by the state of Michigan. Management
expects to close on the sale in September 2015. Management intends
to use $6.5 million of sale proceeds for renovations to common
areas, existing AL and memory loss units, and general improvements
to East Harbor campus. Additional project funds are anticipated
from PVM's strong philanthropic efforts. If the sale is not
completed by June 2016, Redford will become a mortgaged property.
Management estimates that Redford required approximately $400,000
annually in subsidy, including unpaid management fees, which will
help enhance coverage going forward. Overall, Fitch views the
divestiture of Redford as a credit positive and believes that April
2015 results show some indication that estimates savings are
achievable.
ONE-TIMES DRIVE STRONG COVERAGE IN 2013 & 2014
Debt service coverage in 2013 and 2014 was abnormally strong,
driven by one-time revenue sources. In 2013, PVM recorded a $2.3
million tax credit as other income while in 2014 PVM booked a $1.4
million realized gain from the sale to a related party of 65
independent living units on the Redford campus into non-operating
revenues. The sale of the 65 ILUs totaled $6.3 million with PVM
taking a seller's note for $4.7 million which will be paid over 30
years. Excluding these one-time items, PVM generated coverage of
pro forma MADS by EBITDA of 1.5x and 1.3x in 2013 and 2014,
respectively.
NON-OBLIGATED GROUP ACTIVITIES DEPRESS LIQUIDITY
PVM OG's liquidity is adequate for the rating category, having
grown to $12.5 million from $10 million in 2012, now representing
128 days cash on hand (DCOH). Cash growth is a result of one-time
revenues over the period. Cushion ratio for pro forma debt was
6.7%, just shy of Fitch's 'BBB' category median of 6.9%. Fitch
expects that days cash on hand will be materially improved with
PVM's changes to its obligated group structure. PVM'S ability to
organically grow its liquidity over the medium term will be key to
upward rating movement.
Fitch views positively management's recent efforts to reduce non-OG
subsidies and advances. PVM OG's practice of substantial related
party transactions has weighed on its balance sheet, with $11.1
million in advances and notes receivable depressing liquidity in
2014. Fitch views positively work to restructure loans to non-OG
entities, which has been accomplished in 2014 and will continue;
these obligations were subsidized previously by PVM OG and
increased OG debt service requirements. PVM's restructured
obligated group will also include the contribution of a wholly
owned real estate company (PVM EJNP Realty Estate Company, LLC),
which reported $3.9 million in equity in 2014.
OCCUPANCY UNCHANGED
Overall occupancy is largely unchanged from year prior, held stable
by continued marketing efforts. Overall occupancy as of March 31,
2015, was 89% in IL units, 88% in AL units, and 92% in SN units.
AL occupancy at Westland and East Harbor increased 89.4% as of
March 31, 2015, from 83.3% in prior year three-month interim. The
increase was driven primarily by a fire which destroyed 20 units.
Insurance proceeds have been received and will fund the
reconstruction of the units.
STRATEGIC AND CAPITAL PLANNING
PVM is undergoing substantial strategic and capital planning
efforts at present, with completion expected in September 2015. At
present, management expects an additional $4 million in East Harbor
projects within the obligated group and may finance improvements
entirely from borrowing. Additional capital needs are anticipated
at Westland, which management reports will be financed from HUD
insured loans outside the OG. Additional spending may result from
strategic and capital planning and will be reviewed by Fitch for
impact on credit quality. However, Fitch believes that PVM has a
limited ability to accommodate additional debt without an
improvement in profitability.
PROTOM INTERNATIONAL: Meeting of Creditors Set for June 11
----------------------------------------------------------
The meeting of creditors of ProTom International Inc. is set to be
held on June 11, 2015, at 11:00 a.m., according to a filing with
the U.S. Bankruptcy Court for the Northern District of Texas.
The meeting will take place at Office of the U.S. Trustee, Room
976, 1100 Commerce Street, in Dallas, Texas.
The court overseeing the bankruptcy case of a company schedules the
meeting of creditors usually about 30 days after the bankruptcy
petition is filed. The meeting is called the "341 meeting" after
the section of the Bankruptcy Code that requires it.
A representative of the company is required to appear at the
meeting and answer questions under oath. The meeting is presided
over by the U.S. trustee, the Justice Department's bankruptcy
watchdog.
About ProTom International
ProTom International Inc. is a medical technology focused on proton
therapy for cancer patients. The Company and affiliate ProTom
International, LLC, have the exclusive rights to sell in the U.S.
the compact accelerators developed by Russia-based ZAO Protom and
owner Vladimir E. Balakin. The ZAO system and technology were
lighter and cheaper than proton therapy systems then in operation
in the U.S. This technology has been the basis on which ProTom has
developed its Radiance 330 Proton Therapy System.
ProTom International, Inc., and ProTom International, LLC, sought
Chapter 11 bankruptcy protection (Bankr. N.D. Tex. Case No.
15-32065 and 15-32066) in Dallas on May 12, 2015. The cases are
assigned to Judge Barbara J. Houser.
The Debtors tapped Jackson Walker, LLP as counsel, and Lain,
Faulkner & Co., P.C., as accountant.
ProTom Inc. estimated $10 million to $50 million in assets and
debt.
QUICK SILVER: Richards Layton Approved as Bankruptcy Co-Counsel
---------------------------------------------------------------
The U.S. Bankruptcy Curt for the District of Delaware authorized
Quicksilver Resources Inc., et al., to employ Richards, Layton &
Finger, P.A. as co-counsel, nunc pro tunc to the March 17, 2015
petition date.
Richards Layton is expected to, among other things:
(a) prepare all necessary petitions, motions, applications,
orders, reports, and papers necessary to commence the
Chapter 11 case;
(b) advise the Debtors of their rights, powers, and duties as
debtors and debtors in possession under chapter 11 of the
Bankruptcy Code;
(c) prepare on behalf of the Debtors all motions, applications,
answers, orders, reports, and papers in connection with the
administration of the Debtors' bankruptcy estates;
(d) take action to protect and preserve the Debtors' bankruptcy
estates, including the prosecution of actions on behalf of
the Debtors, the defense of actions commenced against the
Debtors in the chapter 11 cases, the negotiation of
disputes in which the Debtors are involved, and the
preparation of objections to claims filed against the
Debtors;
(e) assist the Debtors with the sale of any of their assets
pursuant to section 363 of the Bankruptcy Code;
(f) prepare for the Debtors any disclosure statement, plan and
any related motions, pleadings, or other documents
necessary to solicit votes on any Chapter 11 plan;
(g) prosecute any proposed chapter 11 plan and seek approval of
all transactions contemplated therein and in any amendments
thereto;
(h) perform all other necessary legal services in connection
with the Chapter 11 cases; and
(i) Richards Layton may perform all other services assigned by
the Debtors, in consultation with Akin Gump Strauss Hauer &
Feld LLP ("Akin"), to Richards Layton as co-counsel to the
Debtors. To the extent Richards Layton determines that
such services fall outside of the scope of services
historically or generally performed by Richards Layton as
co-counsel in a bankruptcy case, Richards Layton will file
a supplemental declaration.
The firm's professionals will be paid at these hourly rates:
Paul N. Heath $650
Michael J. Merchant $650
Amanda R. Steele $425
Rachel L. Biblo $260
Lindsey A. Edinger $235
Partners $585-$825
Counsel $525
Associates $260-$490
Paraprofessionals $235
Prior to the Petition Date, the Debtors paid Richards Layton a
total retainer of $169,038 in connection with and in contemplation
of these chapter 11 cases. The Debtors proposed that the remainder
of the retainer paid to Richards Layton and not
expended for prepetition services and disbursements be treated as
an evergreen retainer to be held by Richards Layton as security
throughout these chapter 11 cases until Richards Layton's fees and
expenses are awarded by final order and payable to Richards
Layton.
Richards Layton will also be reimbursed for reasonable
out-of-pocket expenses incurred.
Paul N. Heath, director of Richards Layton, assured the Court that
the firm is a "disinterested person" as the term is defined in
Section 101(14) of the Bankruptcy Code and does not represent any
interest adverse to the Debtors and their estates.
About Quicksilver
Quicksilver Resources Inc. (OTCQB: KWKA) is an exploration and
production company engaged in the development and production of
long-lived natural gas and oil properties onshore North America.
Based in Fort Worth, Texas, the company claims to be a leader in
the development and production from unconventional reservoirs
including shale gas, and coal bed methane. Following more than 30
years of operating as a private company, Quicksilver became public
in 1999.
The company has U.S. offices in Fort Worth, Texas; Glen Rose,
Texas; Steamboat Springs, Colorado; Craig, Colorado and Cut Bank,
Montana. The Company's Canadian subsidiary, Quicksilver Resources
Canada Inc., is headquartered in Calgary, Alberta.
On March 17, 2015, Quicksilver Resources Inc. and certain of its
affiliates filed voluntary petitions for relief under Chapter 11
of
title 11 of the United States Code in Delaware. The Debtors are
seeking joint administration under the main case, In re
Quicksilver
Resources Inc. Case No. 15-10585. Quicksilver's Canadian
subsidiaries were not included in the chapter 11 filing.
The Company's legal advisors are Akin Gump Strauss Hauer & Feld
LLP
in the U.S. and Bennett Jones in Canada. Richards Layton &
Finger,
P.A., is legal co-counsel in the Chapter 11 cases. Houlihan Lokey
Capital, Inc. is serving as financial advisor. Garden City Group
Inc. is the claims and noticing agent.
The Company's balance sheet at Dec. 31, 2014, showed $1.21 billion
in total assets, $2.35 billion in total liabilities and total
stockholders' deficit of $1.14 billion.
The U.S. Trustee for Region 3 appointed five creditors of
Quicksilver Resources Inc. to serve on the official committee of
unsecured creditors.
RADIOSHACK CORP: Judge Approves Bidding for Real Properties
-----------------------------------------------------------
A federal judge approved a bidding process for potential suitors to
buy some of the real properties owned by RadioShack Corp. and its
affiliate.
U.S. Bankruptcy Judge Brendan Shannon last week gave approval to
the bidding process, allowing the bankrupt electronics retailer to
sell real properties, including those owned by TE Electronics LP,
to the highest bidder.
The bidding procedures set a June 8 deadline for potential buyers
to make an offer.
An auction will be held on June 11 for properties that draw
multiple bids. The auction will take place at the offices of Jones
Day in Dallas, Texas.
SK Realty Management LLP and another buyer will take part at the
auction as stalking horse bidders.
SK Realty offered $11.4 million for a RadioShack property located
along Tandy Drive, in Hagerstown, Maryland. The company will
receive a breakup fee, which is 1% of the purchase price, if not
selected as the winning bidder.
Meanwhile, the other buyer, whose identity will be revealed only
once its agreement with RadioShack "goes firm" on June 1, offered
to purchase the properties owned by the retailer and TE Electronics
located in Forth Worth, Texas, and Woodland, California.
A group of lenders led by Salus Capital Partners LLC can also make
a bid at the auction on properties securing the $250 million loan
it provided to RadioShack, court papers show.
A court hearing to consider the sale of the properties to the
winning bidders is scheduled for June 16.
A copy of the document detailing the bidding procedures is
available for free at http://is.gd/9cFZPM
About RadioShack Corporation
Headquartered in Fort Worth, Texas, RadioShack (NYSE: RSH) --
http://www.radioshackcorporation.com/-- is a retailer of mobile
technology products and services, as well as products related to
personal and home technology and power supply needs. RadioShack's
retail network includes more than 4,300 company-operated stores in
the United States, 270 company-operated stores in Mexico, and
approximately 1,000 dealer and other outlets worldwide.
RadioShack Corporation and affiliates sought Chapter 11 protection
(Bankr. D. Del. Lead Case No. 15-10197) on Feb. 5, 2015. Judge
Kevin J. Carey presides over the case.
David G. Heiman, Esq., Greg M. Gordon, Esq., Amanda M. Suzuki,
Esq., Jonathan M. Fisher, Esq., Thomas A. Howley, Esq., and Paul M.
Green, Esq., at Jones Day serve as the Debtors' bankruptcy
counsel.
David M. Fournier, Esq., Evelyn J. Meltzer, Esq., and John H.
Schanne, II, Esq., at Pepper Hamilton LLP serve as co-counsel.
Carlin Adrianopoli at FTI Consulting, Inc., is the Debtors'
restructuring advisor. Maeva Group, LLC, is the Debtors' turnaround
advisor. Lazard Freres & Co. LLC is the Debtors' investment
banker. A&G Realty Partners is the Debtors' real estate advisor.
Prime Clerk is the Debtors' claims and noticing agent.
In their Petitions, the Debtors disclosed total assets of $1.2
billion, versus total debts of $1.3 billion.
Quinn Emanuel Urquhart & Sullivan, LLP and Cooley LLP represent the
Official Committee of Unsecured Creditors as co-counsel. Houlihan
Lokey Capital, Inc., serves as financial advisor and investment
banker.
REAL VEBA TRUST: E.D. Pa. Court Dismisses Involuntary Bankruptcy
----------------------------------------------------------------
The United States District Court for the Eastern District of
Pennsylvania, in its April 23, 2015 Memorandum, dismissed the
involuntary bankruptcy cases against Real Veba Trust, which were
originally filed in the U.S. Bankruptcy Court for the Middle
District of Florida. The case is docketed as IN RE: REAL VEBA
TRUST. IN RE: KORESKO LAW FIRM, P.C. IN RE: SINGLE EMPLOYER WELFARE
BENEFIT PLAN TRUST. IN RE: PENN-MONT BENEFIT SERVICES, INC. IN RE:
KORESKO & ASSOCIATES, P.C. IN RE: PENN PUBLIC TRUST, CIVIL ACTION
NOS. 14-1484, 14-1485, 14-1486, 14-1487, 14-1488, 14-1489.
After the U.S. Bankruptcy Court for the Eastern District of
Pennsylvania dismissed six voluntary Chapter 11 bankruptcy
petitions filed by the same debtors, bankruptcy cases were
initiated a month later by involuntary bankruptcy petitions in the
U.S. Bankruptcy Court for the Middle District of Florida. The
Florida court subsequently transferred the cases to the E.D. Pa.
Court in an order dated December 6, 2013.
District Judge Mary A. McLaughlin dismissed the cases with
prejudice and held that the petitions could only be refiled with
the approval and authority of the Court. In the event that the
Debtors do file, the automatic stay pursuant to 11 U.S.C. Section
362(b)(4) is ineffective until the Court rules otherwise. Judge
McLaughlin also found that Debtors Koresko & Associates, P.C.,
Koresko Law Firm, Penn Public Trust, and Penn-Mont Benefit
Services, Inc., were liable to the U.S. Trustee for $350.00 each. A
copy of Judge McLaughlin's Memorandum is available at
http://is.gd/ujxc7tfrom Leagle.com.
KORESKO & ASSOCIATES, P.C., Debtor-in-Possess, represented by BRETT
A. MEARKLE, MEARKLE TRUEBLOOD ADAM PL & SCOTT ALAN ORTH, LAW
OFFICES OF SCOTT ALAN ORTH PA.
HARRY R. LARKIN, Movant, represented by IRA B. SILVERSTEIN --
isilverstein@hm-law.com -- The Silverstein Firm.
ROBERT V. LARKIN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
STEPHEN J. LARKIN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
ROBERT W. CORL, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
FREDERICK R. CAHALL, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
OLOUAKAN COMLUCT, INC., Movant, represented by IRA B. SILVERSTEIN,
The Silverstein Firm.
CARSON'S STEAK WAREHOUSE AND SALOON, INC., Movant, represented by
IRA B. SILVERSTEIN, The Silverstein Firm.
M&E ZENNI, INC., Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
CHARLES C. PARSONS & ASSOCIATES, Movant, represented by IRA B.
SILVERSTEIN, The Silverstein Firm.
PAMELA K. ERDMAN MD, INC., Movant, represented by IRA B.
SILVERSTEIN, The Silverstein Firm.
POWERCOM, INC., Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
ENGINEERED SYSTEMS & PRODUCTS, INC., Movant, represented by IRA B.
SILVERSTEIN, The Silverstein Firm.
ANTHEM MEDICAL MANAGEMENT, INC., Movant, represented by IRA B.
SILVERSTEIN, The Silverstein Firm.
RESOURCE REALIZATIONS, INC., Movant, represented by IRA B.
SILVERSTEIN, The Silverstein Firm.
DR. DAVID SPOKANE, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
U.E. SYSTEMS, INC., Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DR. ERIC KATZ, P.C., Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
WILSHIRE PALISADES LAW GROUP, P.C., Movant, represented by IRA B.
SILVERSTEIN, The Silverstein Firm.
HAMID MOHSSENI, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DRS. MARTIN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
ELISA ZENNI, II, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
ESQ. CHARLES C. PARSONS, Movant, represented by IRA B. SILVERSTEIN,
The Silverstein Firm.
DR. PAMELA ERDMAN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
HAL KERN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
ROSA KERN, WIFE, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
BENJAMIN FRADLIN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
FAINA FRADLIN, WIFE, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DR JOHN CROUSHORE, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DR FRANK SIMONCINI, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DAVID GILCREASE, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
MICHAEL OSTERER, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
MARK GOODMAN, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
ALAN BANDES, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DR ERIC KATZ, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
VICTORIA KATZ, WIFE, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
DAVID LEFKOWITZ, Movant, represented by IRA B. SILVERSTEIN, The
Silverstein Firm.
NORMA LEFKOWITZ, WIFE, Movant, represented by IRA B. SILVERSTEIN,
The Silverstein Firm.
MICHAEL GRAHAM, Creditor, represented by BRETT A. MEARKLE, MEARKLE
TRUEBLOOD ADAM PL & JULIANNA GROOT, MEARKLE TRUEBLOOD ADAM PL. JOHN
D.
BRADDOCK, Creditor, represented by BRETT A. MEARKLE, MEARKLE
TRUEBLOOD ADAM PL & JULIANNA GROOT, MEARKLE TRUEBLOOD ADAM PL.
TRUMAN GAILEY, Creditor, represented by BRETT A. MEARKLE, MEARKLE
TRUEBLOOD ADAM PL & JULIANNA GROOT, MEARKLE TRUEBLOOD ADAM PL.
JIM MALONE, Creditor, represented by BRETT A. MEARKLE, MEARKLE
TRUEBLOOD ADAM PL & JULIANNA GROOT, MEARKLE TRUEBLOOD ADAM PL.
UNITED STATES TRUSTEE, Trustee, represented by FREDERIC J. BAKER,
OFFICE OF THE U.S. TRUSTEE & GEORGE M. CONWAY, OFFICE OF THE U.S.
TRUSTEE.
About Regional Employers Assurance Leagues
Voluntary Employees' Beneficiary Association Trust
Regional Employers Assurance Leagues Voluntary Employees'
Beneficiary Association Trust filed a Chapter 11 petition (Bankr.
E.D. Pa. Case No. 13-16440) on July 23, 2013. Judge Jean K.
FitzSimon presides over the case. The Debtor estimated assets at
$50 million to $100 million and debts at $1 million to $10 million.
The petition was signed by John J. Koresko, V, director of trustee
and administrator.
In September, the Pennsylvania Bankruptcy Court entered an order
dismissing Real VEBA's Chapter 11 case. The dismissal came after
the U.S. Trustee called for the dismissal of the case, arguing,
among other things, that the Debtor cannot reorganize and that its
bankruptcy has no business purpose. According to the U.S. Trustee,
the sole purpose of the filing for bankruptcy relief was an attempt
to stay a police powers action brought by the U.S. Department of
Labor, hence, the filing was not commenced in good faith.
On Oct. 1, 2013, creditors holding $1.19 million in claims filed an
involuntary petition under Chapter 11 against Regional Employers
Assurance Leagues Voluntary Employees' Beneficiary Association
Trust, d/b/a Real VEBA Trust (Case No. 13-05987, Bankr. M.D. Fla.).
The proposed Debtor is represented by Scott Alan Orth, Esq., at
LAW OFFICES OF SCOTT ALAN ORTH PA, in Hollywood, Florida. The
Petitioners are represented by Brett A Mearkle, Esq., at LAW OFFICE
OF BRETT A. MEARKLE, in Jacksonville, Florida.
Later that month, Real VEBA Trust notified the Bankruptcy Court for
the Middle District of Florida, Jacksonville Division, of its
consent of an entry of the order for relief in the involuntary
Chapter 11 case.
RESIDENTIAL CAPITAL: Bankruptcy Court Trims Robertson Claim
-----------------------------------------------------------
Bankruptcy Judge Martin Glenn sustained in part and overruled in
part the ResCap Liquidating Trust's objection to the claims filed
by Duncan K. Robertson in the case captioned In re: RESIDENTIAL
CAPITAL, LLC, et al., Chapter 11, Debtors , CASE NO. 12-12020 (MG)
JOINTLY ADMINISTERED (Bankr. S.D.N.Y.).
On November 5, 2012, Robertson timely filed the following claims:
(i) a $237,623 general unsecured claim against Debtor GMAC
Mortgage, LLC (the "GMACM Claim");
(ii) a $178,218 general unsecured claim against Debtor
Executive Trustee Services, LLC (the "ETS Claim");
(iii) a $118,812 general unsecured claim against Debtor
Residential Fundings Real Estate Holdings, LLC (the "RFREH Claim");
(iv) a $118,812 general unsecured claim against Debtor
Residential Funding Company, LLC (the "RFC Claim"); and
(v) a $118,812 general unsecured claim against Debtor
Homecomings Financial, LLC (the "Homecomings Claim").
The Trust filed an objection seeking to disallow and expunge
Robertson's claims.
On April 28, 2015, Judge Glenn issued a Memorandum Opinion and
Order sustaining in part and overruling in part the objection and
ordering as follows:
-- the Homecomings Claim may proceed to an evidentiary
hearing with respect to Robertson's trespass cause of
action;
-- the ETS Claim may proceed to an evidentiary hearing with
respect to Robertson's fraud and Washington Consumer
Protection Act (the "WCPA") causes of action;
-- the RFPEH Claim may proceed to an evidentiary hearing
with respect to Robertson's fraud and WCPA causes of
action
-- the Trust's counsel shall confer with Robertson within
14 days to discuss possible settlement of the remaining
issues.
The Memorandum Opinion and Order is available at
http://is.gd/LFyXEHfrom Leagle.com
MORRISON & FOERSTER LLP, By: Norman S. Rosenbaum, Esq. --
nrosenbaum@mofo.com -- Jordan A. Wishnew, Esq. -- jwishnew@mofo.com
-- Erica J. Richards, Esq. -- erichards@mofo.com -- New York, New
York, Attorneys for ResCap Borrower Claims Trust.
DUNCAN K. ROBERTSON, By: Duncan K. Robertson, Portland, Oregon, Pro
Se.
About Residential Capital
Residential Capital LLC, the unprofitable mortgage subsidiary of
Ally Financial Inc., filed for bankruptcy protection (Bankr.
S.D.N.Y. Lead Case No. 12-12020) on May 14, 2012.
Neither Ally Financial nor Ally Bank is included in the bankruptcy
filings.
ResCap, one of the country's largest mortgage originators and
servicers, was sent to Chapter 11 with 50 subsidiaries amid
"continuing industry challenges, rising litigation costs and
claims, and regulatory uncertainty," according to a company
statement.
ResCap disclosed $15.7 billion in assets and $15.3 billion in
liabilities at March 31, 2012.
Centerview Partners LLC and FTI Consulting are acting as financial
advisers to ResCap. Morrison & Foerster LLP is acting as legal
adviser to ResCap. Curtis, Mallet-Prevost, Colt & Mosle LLP is
the
conflicts counsel. Rubenstein Associates, Inc., is the public
relations consultants to the Company in the Chapter 11 case.
Morrison Cohen LLP is advising ResCap's independent directors.
Kurtzman Carson Consultants LLP is the claims and notice agent.
Ray C. Schrock, Esq., at Kirkland & Ellis LLP, in New York, serves
as counsel to Ally Financial.
ResCap sold most of the businesses for a combined $4.5 billion.
The Bankruptcy Court in November 2012 approved ResCap's sale of
its
mortgage servicing and origination platform assets to Ocwen Loan
Servicing, LLC and Walter Investment Management Corporation for $3
billion; and its portfolio of roughly 50,000 whole loans to
Berkshire Hathaway for $1.5 billion.
Judge Martin Glenn in December 2013 confirmed the Joint Chapter 11
Plan co-proposed by Residential Capital and the Official Committee
of Unsecured Creditors.
RIENZI & SONS: Gets 3rd Interim Access to Alma Cash Collateral
--------------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of New York
authorized, on a third interim basis, Rienzi & Sons, Inc.'s use of
cash collateral in which Alma Bank asserts an interest.
A hearing was scheduled for May 8 for further authorization to use
cash collateral.
As reported in the TCR on March 17, 2015, the current outstanding
secured obligation to Alma Bank is $1 million. The Debtor has
about $2.0 million inventory and about $500,000 in accounts
receivable. Further, the Debtor has about $2.5 million equipment.
Accordingly, the Debtor tells the Court that Alma Bank is
significantly oversecured. To adequately protect Alma Bank with
respect to the cash collateral utilized during its case, the Debtor
proposes to maintain the value of its business though payment of
the normal monthly expenditures in general accord
with the Budget. Furthermore, the Debtor proposes to pay Alma Bank
monthly interest of $4,500.
As adequate protection for the Debtor's use of cash collateral, the
Debtor will grant replacement liens in all of its prepetition and
postpetition assets and proceeds, to the extent that Alma Bank has
a valid security interests in those prepetition assets on the
Petition Date and in the continuing order of priority that existed
as of the Petition Date.
The replacement liens will be subject and subordinate only to: (i)
the claims of Chapter 11 professionals; (ii) United States Trustee
fees pursuant to 28 U.S.C. Section 1930 and 31 U.S.C. Section 3717
and any Clerk's filing fees; (iii) fees and expenses incurred in
connection with any investigation of the nature, extent and
validity of Citibank's or Grant's liens and security interests in
an amount not to exceed $10,000; (iv) the fees and commissions of a
hypothetical Chapter 7 trustee in an amount not to exceed $10,000;
and (v) the recovery of funds or proceeds from the successful
prosecution of avoidance actions pursuant to Sections 502(d), 544,
545, 547, 548, 549, 550 or 553 of the Bankruptcy Code.
About Rienzi & Sons
Rienzi & Sons filed a Chapter 11 bankruptcy petition (Bankr.
E.D.N.Y. Case No. 15-40926) on March 3, 2015. The petition was
signed by Michael Rienzi as president. The Debtor estimated
assets
and debts of $10 million to $50 million. Vincent J Roldan, Esq.,
and Michael J. Sheppeard, Esq., at Ballon Stoll Bader & Nadler
P.C., serve as counsel to the Debtor. Judge Nancy Hershey Lord
presides over the Chapter 11 case.
RIVER CITY: Seeks Third Extension of Time to Remove Actions
-----------------------------------------------------------
River City Renaissance, LC, and River City Renaissance III, LC,
filed a third motion asking the U.S. Bankruptcy Court for the
Eastern District of Virginia, Richmond Division, to further extend
through and including Oct. 26, 2015, the time in which they may
remove to federal court actions pursuant to 28 U.S.C. Section 1452
and Rule 9027 of the Federal Rules of Bankruptcy Procedure.
Neil E. McCullagh, Esq., at Spotts Fain PC, in Richmond, Virginia,
asserts that cause exists to grant the motion as the Debtors have
completed the sale of their real property assets, which closed on
April 30, 2015, and are now focused on expeditiously liquidating
remaining assets to allow them to then wind up their remaining
affairs and pay their creditors to the extent possible.
The Motion is scheduled for hearing on June 11, 2015 at 2:00 p.m.
(prevailing Eastern time). The deadline for the submission of
objections is set on June 8, 2015.
The Debtors are represented by:
Robert H. Chappell, III, Esq.
Neil E. McCullagh, Esq.
Jennifer J. West, Esq.
James K. Donaldson, Esq.
SPOTTS FAIN PC
411 East Franklin Street, Suite 600
Richmond, VA 23219
Tel: (804) 697-2000
Fax: (804) 697-2100
Email: rchappell@spottsfain.com
nmccullagh@spottsfain.com
jwest@spottsfain.com
jdonaldson@spottsfain.com
About River City Renaissance
Richmond, Virginia-based, River City Renaissance, LC, and River
City Renaissance III, LC, sought Chapter 11 protection (Bankr. E.D.
Va. Case Nos. 14-34080 and 14-34081) in Richmond, Virginia, on July
30, 2014.
The Debtors filed the chapter 11 cases in order to pursue an
orderly liquidation of their real property assets, which are
comprised of 29 residential apartment buildings in the City of
Richmond, in lieu of scheduled foreclosure sales.
The cases are assigned to Judge Keith L. Phillips. The Debtors
tapped Spotts Fain PC, as counsel.
River City Renaissance LC disclosed $27.3 million in assets and
$29.2 million in liabilities as of the Chapter 11 filing.
Renaissance III estimated less than $10 million in assets and
debts.
SALADWORKS LLC: Needs Until Sept. 15 to File Plan
-------------------------------------------------
Saladworks, LLC, asks the U.S. Bankruptcy Court for the District of
Delaware to further extend the period by which it has exclusive
right to file a plan to Sept. 15, 2015, and the period by which it
has exclusive right to solicit acceptances of that plan to
Nov. 12, 2015.
According to Adam G. Landis, Esq., at Landis Rath & Cobb LLP, in
Wilmington, Delaware, the Debtor developed a framework for a plan
and shared its thoughts in that regard with the major constituents
in the case. Mr. Landis tells the Court that it is difficult to
reach a final consensus on a plan when the sale transaction has not
yet been approved by the Court and claims asserted against the
Debtor's estates are unknown.
The Debtor's filing of a consensual plan is contingent on, among
other things, the approval of the sale and the filing of claims
prior to the Bar Date, Mr. Landis asserts. The outcome of these
contingencies will have a significant impact on the terms of a plan
and the cash available to satisfy allowed claims and interests
against the Debtors, the he further asserts.
About Saladworks, LLC
Developed in 1986, Saladworks, LLC, is the first and largest
fresh-salad franchise concept in the United States. From its
beginning in the Cherry Hill Mall, Saladworks quickly expanded to
12 additional locations in area malls and soon thereafter began
franchising. The company has franchise agreements with 162
different franchisees. The equity owners are J Scar Holdings,
Inc., (70%) and JVSW LLC (30%).
Saladworks, LLC, sought Chapter 11 bankruptcy protection (Bankr. D.
Del. Case No. 15-10327) on Feb. 17, 2015. The case assigned to
Judge Laurie Selber Silverstein.
The Debtor has tapped Landis Rath & Cobb LLP as counsel; SSG
Advisors, LLC, as investment banker; EisnerAmper LLP, as financial
advisor; and Upshot Services LLC, as claims and noticing agent.
Saladworks, LLC, disclosed $2,303,632 in assets and $14,220,722 in
liabilities as of the Chapter 11 filing.
The U.S. trustee overseeing the Chapter 11 case of Saladworks LLC
appointed three creditors of the company to serve on the official
committee of unsecured creditors.
SAM CALLAS: Bid for Turnover of Cash Collateral to BCL Denied
-------------------------------------------------------------
Bankruptcy Judge Janet S. Baer denied the trustee's motion for
authority to turn over cash collateral in the Chapter 7 case of Sam
Callas.
A motion was filed by Michael K. Desmond, as chapter 7 trustee of
the bankruptcy estate of Sam Callas, for authority to turn over
alleged cash collateral proceeds to BCL-Capital Funding LLC
("BCL"). On February 17, 2015, the Court granted the trustee's
motion in part, authorizing the disposition of certain funds, but
continued the matter with respect to the balance of the trustee's
motion. Opposition was filed by Gregory K. Stern, Monica C.
O'Brien, Dennis E. Quaid, and Rachel S. Sandler against the balance
of the trustee's motion.
In denying the trustee's motion for turnover, Judge Baer concluded
that the segregated account funds, which related to rents paid to
the debtor before the commencement of the case and while he
retained control of the property, are not BCL's cash collateral.
Instead, the segregated account funds are property of the debtor's
estate, available for general estate distribution free and clear of
any claims by BCL.
In the same memorandum, Judge Baer also resolved two related
matters pending before the court: (1) Stern's motion to allow and
authorize payment of administrative claim, which was granted in
part and denied in part; and (2) Stern's motion to dismiss BCL's
adversary complaint, which was granted.
A copy of the April 23, 2015 memorandum opinion is available at
http://is.gd/638kTbfrom Leagle.com.
About Sam Callas
Sam Callas filed a voluntary petition for relief under chapter 11
of the Bankruptcy Code (Bankr. N.D. Ill. Case No. 13 B 43900) on
November 12, 2013. On November 4, 2014, the debtor's case was
converted to a case under chapter 7, and Michael K. Desmond was
appointed chapter 7 trustee of the debtor's estate.
SANTA CRUZ BERRY: Section 341 Meeting Scheduled for June 17
-----------------------------------------------------------
A meeting of creditors in the bankruptcy case of Santa Cruz Berry
Farming Company, LLC will be held on June 17, 2015, at 10:30 a.m.
at San Jose Room 268. A separate meeting will be held at 11:30 for
the creditors of Corralitos Farms, LLC.
The deadline to file proofs of claim is Sept. 15, 2015.
This is the first meeting of creditors required under Section
341(a) of the Bankruptcy Code in all bankruptcy cases.
All creditors are invited, but not required, to attend. This
meeting offers the one opportunity in a bankruptcy proceeding for
creditors to question a responsible office of the Debtor under oath
about the company's financial affairs and operations that would be
of interest to the general body of creditors.
Santa Cruz Berry Farming Company, LLC, and Corralitos Farms, LLC,
commenced Chapter 11 bankruptcy cases (Bankr. N.D. Cal. Case Nos.
15-51771 and 15-51772) in San Jose, California, on May 25, 2015.
The petitions were signed by Robert Fritz Koontz as manager.
Judge Elaine Hammond is assigned to the case.
Thomas A. Vogele, Esq., at Thomas Vogele and Associates, APC, serve
as the Debtors' counsel. Polis & Associates, APLC, acts s the
Debtors' special litigation counsel.
Watsonville, California-based Santa Cruz Berry Farming grows
conventional and organic strawberries. The privately owned company
was founded by and is currently managed by Fritz Koontz. Seven
Seas Berry Sales, a division of the Tom Lange Co., is the sales
agent for the Company.
SIMPLY FASHION: Files Schedules of Assets and Liabilities
---------------------------------------------------------
Simply Fashion Stores, Ltd., filed with the U.S. Bankruptcy Court
for the Southern District of Florida its schedules of assets and
liabilities, disclosing:
Name of Schedule Assets Liabilities
---------------- ----------- -----------
A. Real Property $0
B. Personal Property $29,672,441
C. Property Claimed as
Exempt
D. Creditors Holding
Secured Claims $9,400,000
E. Creditors Holding
Unsecured Priority
Claims $2,490,179
F. Creditors Holding
Unsecured Non-Priority
Claims $24,384,902
----------- -----------
Total $29,672,441 $36,275,081
Adinath Corp., in a separate filing, disclosed $0 assets and $0
liabilities.
Copies of schedules are available for free at
http://bankrupt.com/misc/SimplyFashion_143_initialSAL.pdf
http://bankrupt.com/misc/SimplyFashion_146_SAL.pdf
About Simply Fashion
Owned by the Shah family, Simply Fashion has 247 stores in 25
states across the country in major markets such as Detroit, Miami,
New Orleans, St. Louis, Chicago, Atlanta, Baltimore, Nashville and
Dallas. Founded in 1991, Simply Fashion is primarily a brick and
mortar retailer of Junior, Plus and Super Plus women's fashion
catering to African-American women between the ages of 25 and 55,
with locations in 25 states.
Adinath Corp. is the general partner of Simply Fashion. It is
owned 100% by Bhavana Shah.
On April 16, 2015, Adinath and Simply Fashion Stores, Ltd., each
filed a voluntary petition for relief under Chapter 11 of the
United States Bankruptcy Code in Miami, Florida (Bankr. S.D.
Fla.).
The cases are pending before the Honorable Laurel M. Isicoff, and
the Debtors have requested joint administration of the cases under
Case No. 15-16885.
The Debtors have tapped Berger Singerman LLP as counsel;
KapilaMukamal, LLP, as restructuring advisor; and Prime Clerk LLC
as claims and noticing agent.
The U.S. Trustee for Region 21 appointed five creditors to serve on
the official committee of unsecured creditors.
SIMPLY FASHION: Gets Final OK to Hire Berger Singerman as Counsel
-----------------------------------------------------------------
The Hon. Laurel M. Isicoff of the U.S. Bankruptcy Court for the
District of Florida approved, on a final basis, the employment of
Paul Steven Singerman and the Law Firm of Berger Singerman LLP as
counsel for Adinath Corp. and Simply Fashion Stores, Ltd., nunc pro
tunc to the Petition Date.
The Hon. A. Jay Cristol issued an interim order on April 21, and
set a hearing on the matter for May 6.
The professional services that Berger Singerman is expected to
render, among other things:
a) advice to the Debtors with respect to their powers and duties
as debtors in possession and the continued management of their
business operations;
b) advise the Debtors with respect to their responsibilities
in complying with the United States Trustee's Operating Guidelines
and Reporting Requirements and with the rules of the Court;
c) prepare motions, pleadings, orders, applications, adversary
proceedings, and other legal documents necessary in the
administration of the chapter 11 cases; and
d) protect the interests of the Debtors in all matters pending
before the Court.
Berger Singerman will apply for compensation and reimbursement of
costs, pursuant to Sections 330 and 331 of the Bankruptcy Code, at
its ordinary rates, as they may be adjusted from time to time, for
services rendered and costs incurred on behalf of the Debtors.
The current hourly rates for the attorneys at Berger Singerman
range from $275 to $695. The current hourly rates of Paul Steven
Singerman and Christopher A. Jarvinen, the partners who will be
principally responsible for Berger Singerman's representation of
the Debtors, are $695 and $625, respectively, and the current
hourly rates of the of-counsel and associate attorneys who will
work on this matter range from $275 to $600 per hour. The current
hourly rates for the legal assistants and paralegals at Berger
Singerman range from $75 to $225. Berger Singerman typically
adjusts its hourly rates annually on January 1st.
Paul Steven Singerman, a member of Berger Singerman, attests that
the firm is disinterested as required by Section 327(a) of the
Bankruptcy Code.
About Simply Fashion
Owned by the Shah family, Simply Fashion has 247 stores in 25
states across the country in major markets such as Detroit, Miami,
New Orleans, St. Louis, Chicago, Atlanta, Baltimore, Nashville and
Dallas. Founded in 1991, Simply Fashion is primarily a brick and
mortar retailer of Junior, Plus and Super Plus women's fashion
catering to African-American women between the ages of 25 and 55,
with locations in 25 states.
Adinath Corp. is the general partner of Simply Fashion. It is
owned 100% by Bhavana Shah.
On April 16, 2015, Adinath and Simply Fashion Stores, Ltd., each
filed a voluntary petition for relief under Chapter 11 of the
United States Bankruptcy Code in Miami, Florida (Bankr. S.D.
Fla.).
The cases are pending before the Honorable Laurel M. Isicoff, and
the Debtors have requested joint administration of the cases under
Case No. 15-16885.
The Debtors have tapped Berger Singerman LLP as counsel;
KapilaMukamal, LLP, as restructuring advisor; and Prime Clerk LLC
as claims and noticing agent.
Simply Fashion estimated $10 million to $50 million in assets and
debt.
The U.S. Trustee for Region 21 appointed five creditors to serve on
the official committee of unsecured creditors.
SRP PLAZA: Files Schedules of Assets and Liabilities
----------------------------------------------------
SRP Plaza L.P. filed with the U.S. Bankruptcy Court for the
District of Nevada its schedules of assets and liabilities,
disclosing:
Name of Schedule Assets Liabilities
---------------- ----------- -----------
A. Real Property $10,450,000
B. Personal Property $31,975
C. Property Claimed as
Exempt
D. Creditors Holding
Secured Claims $72,323,483
E. Creditors Holding
Unsecured Priority
Claims $0
F. Creditors Holding
Unsecured Non-Priority
Claims $4,063
----------- -----------
Total $10,481,975 $7,327,546
A copy of the schedules is available for free at:
http://bankrupt.com/misc/SRPPlaza_36_SAL.pdf
About SRP Plaza, L.P.
SRP Plaza, L.P., is the owner of a retail shopping center commonly
known as "Mission Paseo Shopping Center" with addresses of 6985
and
7005 West Sahara Avenue and 2555 and 2585 South Rainbow Boulevard,
Las Vegas, Nevada. SRP Plaza, L.P., a Single Asset Real Estate,
filed a Chapter 11 petition (Bankr. D. Nev. Case No. 15-12127) in
Las Vegas, Nevada, on April 16, 2015, to halt a receiver from
taking control of the property.
U.S. Bank National Association, as successor trustee for the
registered holders of Bear Stearns Commercial Mortgage Securities,
Inc., Commercial Pass-Through Certificates, Series 20015-PW37,
declared an event of default under a Deed of Trust dated on Dec. 7,
2004, and recorded against the real property of SRP on Dec. 9, 2004
as Instrument No. 20041209-0003438.
On March 31, 2014, the Bank filed a complaint for appointment of a
receiver in the Eight Judicial District Court, Clark County,
Nevada, being Case No. A-15-71622 against SRP, and on April 9,
2015, filed an application for the appointment of a receiver
seeking the potential seizure of control of SRP's property, which
actions, if allowed to proceed, would cause significant and
irreparable harm to SPR, its creditors and other
parties-in-interest.
The bankruptcy case is assigned to Judge August B. Landis.
SRP Plaza is represented by Zachariah Larson, Esq., Matthew C.
Zirzow, Esq. and Shara L. Larson, Esq. at Larson & Zirzow, LLC in
Las Vegas, Nevada.
STANDARD REGISTER: Panel Seeks Standing to Sue Lenders, et al.
--------------------------------------------------------------
The Official Committee of Unsecured Creditors appointed in the
Chapter 11 cases of The Standard Register Company, et al., seeks
authority from the U.S. Bankruptcy Court for the District of
Delaware to commence, prosecute, and if appropriate, settle an
action or actions on behalf of the Debtors' estates.
The Committee, specifically, seeks to pursue colorable and
plausible claims on behalf of Debtors' estates against (a) Silver
Point Capital, L.P., and the various other defendants that are
parties to the Debtors' prepetition first- and second-lien term
loans, including, among others, a number of SPC's affiliates; (b)
the agent and lenders under the Debtors' prepetition asset-backed
revolving credit facility; (c) certain of the Debtors' directors
and officers as of Standard Register's August 1, 2013 acquisition
of WorkflowOne, LLC; (d) WFSR Holdings, LLC, f/k/a Workflow
Holdings, LLC, the seller in the WorkflowOne Acquisition; and (e)
additional persons and entities as the Committee may identify
through discovery.
The Committee's counsel, Christopher A. Ward, Esq., at Polsenelli
PC, in Wilmington, Delaware, relates that the Committee's
preliminary investigation has revealed that the Committee and/or
the Debtors' estates hold a number of colorable and very plausible
causes of action against the Defendants, which actions could
profoundly impact the Debtors' estates and creditor recoveries.
Mr. Ward says the Committee is prepared to pursue the causes of
action in light of the Debtors' inability to do so.
The Motion is scheduled for hearing on June 8, 2015 at 9:30 a.m.
The deadline for the submission of objections is June 1.
The Committee is represented by:
Kenneth A. Rosen, Esq.
Sharon L. Levine, Esq.
Paul Kizel, Esq.
Wojciech F. Jung, Esq.
Andrew Behlmann, Esq.
LOWENSTEIN SANDLER LLP
65 Livingston Avenue
Roseland, NJ 07068
Tel: (973)597-2500
Fax: (973)597-2400
Email: krosen@lowenstein.com
slevine@lowenstein.com
pkizel@lowenstein.com
wjung@lowenstein.com
abehlmann@lowenstein.com
-- and --
Gerald C. Bender, Esq.
LOWENSTEIN SANDLER LLP
1251 Avenue of the Americas
New York, NY 10020
Tel: (212) 262-6700
Fax: (212) 262-7402
Email: gbender@lowenstein.com
-- and --
Christopher A. Ward, Esq.
Justin K. Edelson, Esq.
POLSINELLI PC
222 Delaware Avenue, Suite 1101
Wilmington, DE 19801
Tel: (302) 252-0920
Fax: (302) 252-0921
Email: cward@polsinelli.com
jedelson@polsinelli.com
About Standard Register
Standard Register -- http://www.standardregister.com/-- provides
market-specific insights and a compelling portfolio of workflow,
content and analytics solutions to address the changing business
landscape in healthcare, financial services, manufacturing and
retail markets. The Company has operations in all U.S. states and
Puerto Rico, and currently employs 3,500 full-time employees and 16
part-time employees.
The Standard Register Company and 10 affiliated debtors sought
Chapter 11 protection in Delaware on March 12, 2015, with plans to
launch a sale process where its largest secured lender would serve
as stalking horse bidder in an auction.
The cases are pending before the Honorable Judge Brendan L. Shannon
and are jointly administered under Case No. 15-10541.
The Debtors have tapped Gibson, Dunn & Crutcher LLP and Young
Conaway Stargatt & Taylor LLP as counsel; McKinsey Recovery &
Transformation Services U.S., LLC, as restructuring advisors; and
Prime Clerk LLC as claims agent.
STERLING HOLDINGS: S&P Assigns 'B' CCR, Outlook Stable
------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' corporate
credit rating to Sterling Holdings Ultimate Parent Inc. The
outlook is stable.
At the same time, S&P assigned its 'B' issue-level rating to the
company's first-lien credit facilities, which consist of a $315
million term loan due 2022 and $60 million revolver due 2020. The
recovery rating is '3', which indicates S&P's expectation for
lenders to receive meaningful recovery (50% to 70%, at the low end
of the range) in the event of payment default. S&P also assigned
its 'CCC+' issue-level rating to the $135 million second-lien term
loan due 2023, with a '6' recovery rating, which indicates S&P's
expectation for lenders to receive negligible (0% to 10%)
recovery.
"The ratings reflect Sterling's good growth prospects in the
highly-fragmented domestic employment and background screening
industry," said Standard & Poor's credit analyst Peter Deluca. "The
company's solid market position has been enhanced recently by
strong organic growth and tuck-in acquisitions. Its growth
prospects are well supported by a strong marketing and sales effort
and improving employment conditions. We expect the company's
margins to remain near current levels given its market position,
automated service offering, and high customer retention rates."
The outlook is stable. Standard & Poor's expect operating
performance to remain relatively steady, particularly as Sterling
focuses on organic growth through new product offerings, expansion
of the client base, as well as enhancing operating efficiency. S&P
also expects credit metrics to improve from EBITDA growth.
USA SYNTHETIC: Court Approves Michael Newsom as Interim CFO
-----------------------------------------------------------
The Hon. Mary F. Walrath of the U.S. Bankruptcy Court for the
District of Delaware authorized USA Synthetic Fuel Corporation, et
al., to employ R2B Group, LLP to (i) provide an interim chief
financial officer and certain additional personnel; and (ii)
designate R2B's Michael Newsom as interim CFO nunc pro tunc to the
Petition Date.
According to the Debtors, the position of CFO at USASF was vacated
by Daniel Dixon in September 2014. At that time, Mr. Dixon
resigned to pursue employment with another company. With the
present staff of only three, excluding the interim CFO, there was a
need to find a replacement for Mr. Dixon to assist in the financial
duties associated with work commonly done by a CFO.
Pursuant to the Engagement Letter, Mr. Newsom has served as
interim CFO to USASF since Jan. 28, 2015. In addition to
Mr. Newsom, USASF has requested the services of Timothy May who
will assist in the engagement as necessary under the terms of the
engagement letter.
Mr. Newsom is expected to, among other things:
a. prepare statement of financial affairs and schedules for the
Chapter 11 cases;
b. assisting USASF and its advisors as the internal contact
point for additional data and information to support the filing and
sale process;
c. assisting USASF and its advisors in completing a section 363
sale process;
R2B will coordinate with the Debtors' other retained professionals
to avoid the unnecessary duplication of services.
USASF has agreed to pay R2B an advance monthly fee payment in the
amount of $20,000.
To the best of the Debtor's knowledge, R2B is a "disinterested
person" as that term is defined in Section 101(14) of the
Bankruptcy Code.
USA SYNTHETIC: Morris Nicholz Approved as Bankruptcy Counsel
------------------------------------------------------------
The Hon. Mary F. Walrath of the U.S. Bankruptcy Court for the
District of Delaware authorized USA Synthetic Fuel Corporation, et
al., to employ Morris, Nicholz, Arsht & Tunnel LLP as bankruptcy
counsel nunc pro tunc to the Petition Date.
Morris Nichols would be entitled to receive a payment of $150,000
following the closing of Amendment No. 3 to the Note Purchase
Agreement. The closing of Amendment No. 3 to the Note Purchase
Agreement occurred on Jan. 14, 2015 and Morris Nichols received
$149,980 on Jan. 20, 2015. On March 9, 2015, Morris Nichols
received $5,131 in anticipation of voluntary chapter 11 petition
filing fees. Morris Nichols has not been paid any other
compensation by the Debtors.
To the best of the Debtors' knowledge, Morris Nichols is a
"disinterested person" as that term is defined in Section 101(14)
of the Bankruptcy Code.
About USA Synthetic Fuel
Based in Lima, Ohio, USA Synthetic Fuel Corporation is an
environmentally focused, development stage energy company pursuing
low-cost, clean energy solutions through the deployment of Ultra
Clean Btu Converter technology. Ultra Clean Btu Converter
technology is a process that cost-effectively converts lower-value
solid hydrocarbons, such as coal, into higher-value energy
products, such as Ultra Clean Synthetic Crude, which can be refined
into a variety of fuels, such as diesel, jet, and gasoline.
USA Synthetic and its affiliates sought Chapter 11 bankruptcy
protection (Bankr. D. Del. Lead Case No. 15-10599) on March 17,
2015. The petitions were signed by Dr. Steven C. Vick as chief
executive officer. The Debtors disclosed total assets of $7.9
million and total debts of $99.3 million. USA Synthetic Fuel
Corporation disclosed $7,903,916 in assets and $44,470,020 in
liabilities as of the Chapter 11 filing.
Morris, Nichols, Arsht & Tunnell, represents the Debtors as
counsel. Asgaard Capital LLC acts as the Debtors' investment
banker. R2B Group, LLC serves as the Debtors' interim chief
financial officer provider.
The U.S. trustee wasn't able to form a committee to represent the
company's unsecured creditors due to insufficient interest.
WBH ENERGY: Has Final Court OK to Obtain Financing From CL III
--------------------------------------------------------------
The Hon. H. Christopher Mott of the U.S. Bankruptcy Court for the
Western District of Texas entered on May 11, 2015, a final order
approving WBH Energy, LP's motion to obtain postpetition financing,
on a superpriority administrative claim and first priority priming
lien basis from CL III Funding Holding Company, LLC, and use the
cash collateral of the Lender and U.S. Energy Development
Corporation.
A copy of the order, credit agreement, and budget is available for
free at http://is.gd/0pEJTJ
As reported by the Troubled Company Reporter on April 20, 2015, WBH
Energy asked the Bankruptcy Court to approve a $5 million
financing from the Lender to get the oil and gas drilling company
through bankruptcy, and to allow the Debtor to use cash collateral.
WBH Energy will use it to fund the continued development of its
oil and gas properties, and for working capital and general
business purposes.
To the extent of the aggregate diminution of value, if any, of (i)
the Lender's and USED's interests in the collateral, including cash
collateral, the Lender and USED will have valid and perfected
additional and replacement security interests in, and liens upon
all of the relevant Debtors' right, title and interest in, to, and
under all of the Debtors' now owned and after-acquired property,
cash, and cash collateral of the Debtors. The adequate protection
liens will be deemed to be valid and perfected.
To the extent of the aggregate diminution of value, if any, of the
Lender's and USED's interests in the collateral and cash
collateral, respectively, and subject to the carve-out, the Lender
and USED are granted allowed superpriority administrative expense
claims.
June 8, 2015, will be the deadline for any challenges to the
validity and perfection of claims and liens of Lender.
On April 17, 2015, USED, P.L.P.S., Inc., EOG Resources, Inc., and
the Official Committee of Creditors each filed objections to the
Debtors' request for court authorization to obtain financing and
use cash collateral.
The Committee claimed that the post-petition financing, lift stay,
and bid and sales procedures benefit only the Lender. The
Committee stated that the proposed debtor-in-possession financing
coupled with the lift stay and bid process, is improperly designed
to facilitate a transfer process to the Lender at the expense of
all the remaining creditors in this matter, and that the creditors
will effectively fund the process from property upon which the
Lender does not have a first lien position. According to the
Committee, the proposed budget is not sufficient to fund a plan,
and the cases will likely convert after the Lender takes the
Debtors' assets under the proposed sale or lift stay process.
USED said that the "Debtors are operating their business and
managing their properties as debtors-in-possession" to the extent
that USED is now acting as the operator under a joint operating
agreement.
PLPS stated that it furnished labor, materials, services,
equipment, tools, machinery under contract with WBH Energy
Partners, LLC, in connection with oil and gas operations on real
property owned or leased by WBH Energy, LP, and USED in Montague
County, Texas, for which PLPS has not been paid in full. The
amount due and owing to PLPS is not less than $286,850, exclusive
of contractual interest, attorneys' fees, and costs. All or a
portion of PLPS's claim is secured by statutory oil and gas liens.
According to EOG, the Debtors' motion does not appear to request
that the Court determine the relative priority of the liens or
security interests claimed by the Lender or any other party on the
property to which EOG's lien attaches. "Because EOG holds a first
lien position with respect to the personal and real property
identified in that certain joint operating agreement dated May 24,
2011, a credit bid to purchase those assets is improper until a
cash bid in an amount sufficient to pay EOG's secured claim on
those assets is made or adequate protection is provided," EOG
stated.
A copy of the Committee's objection is available for free at:
http://is.gd/oFXRDt
A copy of USED's objection is available for free at:
http://is.gd/Q5TGrS
A copy of PLPS's objection is available for free at:
http://is.gd/bXYflb
A copy of EOG's objection is available for free at:
http://is.gd/9cEaMD
On April 20, 2015, the Court conducted a hearing on the amount of a
reasonable break-up fee and expense reimbursement due to Cantor
Fitzgerald Securities, as administrative agent in connection with
the Court's consideration of approval of and the closing of
postpetition financing to be provided by the Lender to the Debtors.
The Court ruled on April 21, 2015, that (i) an expense
reimbursement in favor of Cantor in the amount of $87,000 is
reasonable, and (ii) a break-up fee in favor of Cantor in the
amount of $50,000 is reasonable. The Expense Reimbursement and
Break-Up Fee together constitute an allowed administrative claim of
Cantor which will be paid only (a) if and when a DIP loan from the
Lender to any or all of the Debtors closes, and (b) from proceeds
of that DIP loan.
On May 7, 2015, the Debtors sent a notice of the submission of a
revised senior secured, superpriority debtor-in-possession credit
agreement among the Debtors and the Lender. After numerous
discussions with the Lender and the Committee, the Debtors amended
the DIP Credit Agreement.
USED is represented by:
Taube Summers Harrison Taylor Meinzer Brown
Eric J. Taube, Esq.
Mark C. Taylor, Esq.
100 Congress Avenue, 18th Floor
Austin, Texas 78701
Tel: (512) 472-5997
Fax: (512) 472-5248
E-mail: etaube@taubesummers.com
mtaylor@taubesummers.com
and
Hodgson Russ LLP
Garry M. Graber, Esq.
(admitted pro hac vice)
The Guaranty Building
140 Pearl Street, Suite 100
Buffalo, NY 10036
Tel: (716) 856-4000
Fax: (716) 819-4666
E-mail: ggraber@hodgsonruss.com
PLPS is represented by:
Gray Reed & McGraw, P.C.
Micheal W. Bishop, Esq.
Lydia R. Webb, Esq.
1601 Elm Street, Suite 4600
Dallas, Texas 75201
Tel: (214) 954-4135
Fax: (469) 320-6832
EOG is represented by:
Shannon, Gracey, Ratliff & Miller, L.L.P.
Joshua N. Eppich, Esq.
901 Main Street, Suite 4600
Dallas, Texas 75202
Tel: (214) 245-3090
Fax: (214) 245-3097
Cantor is represented by:
Jackson Walker L.L.P.
Bruce J. Ruzinsky, Esq.
1401 McKinney Street, Suite 1900
Houston, Texas 77010
E-mail: bruzinsky@jw.com
and
Jackson Walker L.L.P.
Jennifer F. Wertz, Esq.
100 Congress Avenue, Suite 1100
Austin, Texas 78701
E-mail: jwertz@jw.com
About WBH Energy
WBH Energy Partners LLC (Bankr. W.D. Tex. Case No. 15-10004) and
its affiliates -- WBH Energy, LP (Bankr. W.D. Tex. Case No.
15-10003) and WBH Energy GP, LLC (Bankr. W.D. Tex. Case No.
15-10005) separately filed for Chapter 11 bankruptcy protection on
Jan. 4, 2015. The petitions were signed by Joseph S. Warnock, vice
president.
Judge Christopher Mott presides over WBH Energy, LP's case, while
Judge Tony M. Davis presides over WBH Energy Partners' and WBH
Energy GP's cases.
William A. (Trey) Wood, III, Esq., at Bracewell & Giuliani LLP,
serves as the Debtors' bankruptcy counsel.
WBH Energy, LP, and WBH Energy Partners estimated their assets and
liabilities at between $10 million and $50 million each. WBH
Energy, LP disclosed $557,045 plus an unknown amount and
$48,950,652 in liabilities as of the Chapter 11 filing. WBH Energy
GP estimated its assets at up to $50,000, and its liabilities at
between $10 million and $50 million.
The U.S. Trustee for Region 7 appointed seven creditors to serve
On the official committee of unsecured creditors.
ZELIENOPLE INVESTMENT: Bid to Reject Unexpired Contract Granted
----------------------------------------------------------------
Bankruptcy Judge Carlota M. Bohm granted the debtor's Motion to
Reject Unexpired Lease and Executory Contract Under Section 365 of
the U.S. Bankruptcy Code in the case captioned IN RE: ZELIENOPLE
INVESTMENT CORPORATION, Chapter 11, Debtor. ZELIENOPLE INVESTMENT
CORPORATION, Movant, v. STEVEN A. HYRE, d/b/a SENECA AUTO SALES,
Respondent, BANKRUPTCY NO. 13-22522-CMB, RELATED TO DOC. NO. 253
(Bankr. W.D. Pa.).
Judge Bohm concluded that while the debtor was unable to
demonstrate an absence of corporate authority for James Marburger
-- identified in a Consent to Assignment as the debtor's "Owner" --
to enter into the Consent to Assignment on behalf of the debtor,
the debtor was able to show that the Lease and Option were not
validly assigned to Seneca Auto Sales and that rejection of the
resulting unexpired, month-to-month lease is in the best interest
of the bankruptcy estate. Accordingly, Judge Bohm rejected the
unexpired, month-to-month lease between the parties pursuant to 11
U.S.C. Section 365.
A copy of the April 24, 2015 memorandum opinion is available at
http://is.gd/yQaqMcfrom Leagle.com.
About Zelienople Investment Corporation
An Involuntary Petition under Chapter 11 of the Bankruptcy Code
(Bankr. W.D. Pa. Case No. 13-22522) was filed against Zelienople
Investment Corporation on June 13, 2013. Robert O. Lampl, Esq.,
represented the petitioning creditors as counsel. The Order for
Relief was entered in the bankruptcy case on March 3, 2014. A
Chapter 11 Plan and Disclosure Statement was filed by the debtor on
December 19, 2014.
[^] Recent Small-Dollar & Individual Chapter 11 Filings
-------------------------------------------------------
In re Desert Fun Foods, LLC
Bankr. D. Ariz. Case No. 15-05691
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/azb15-05691.pdf
represented by: Alan R. Solot, Esq.
E-mail: arsolot@gmail.com
In re Frank Shane Folsom and Diana A. Folsom
Bankr. D. Ariz. Case No. 15-05692
Chapter 11 Petition filed May 8, 2015
In re Robert W. Bransky and Jodi L. Bransky
Bankr. D. Ariz. Case No. 15-05735
Chapter 11 Petition filed May 8, 2015
In re Heritage Educational Leadership and Management
Bankr. C.D. Cal. Case No. 15-14678
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/cacb15-14678.pdf
Filed Pro Se
In re Thomas G. Stanley
Bankr. C.D. Cal. Case No. 15-17386
Chapter 11 Petition filed May 8, 2015
In re A Treasure Chest, LLC
Bankr. D. Conn. Case No. 15-20814
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/ctb15-20814.pdf
represented by: Ronald Chorches
LAW OFFICES OF RONALD I. CHORCHES
E-mail: ronchorcheslaw@sbcglobal.net
In re Baltimore Eastpointe 10 Movies, LLC
Bankr. D. Md. Case No. 15-16678
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/mdb15-16678.pdf
represented by: Jeffrey M. Sirody
JEFFREY M. SIRODY AND ASSOCIATES, P.A.
E-mail: smeyers5@hotmail.com
In re Zahn's Auto Body Inc.
Bankr. E.D. Mich. Case No. 15-47351
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/mieb15-47351
represented by: Guy T. Conti
THE LAW OFFICES OF GUY T. CONTI, PLLC
E-mail: gconti@contilegal.com
In re Steven L. Wong
Bankr. D.N.J. Case No. 15-18673
Chapter 11 Petition filed May 8, 2015
In re Steven Wong
Bankr. S.D.N.Y. Case No. 15-11221
Chapter 11 Petition filed May 8, 2015
In re Rustoviant L. Wrighten and Keisha L. Wrighten
Bankr. E.D.N.C. Case No. 15-02619
Chapter 11 Petition filed May 8, 2015
In re Armando James Collazo Leandry
Bankr. D.P.R. Case No. 15-03509
Chapter 11 Petition filed May 8, 2015
In re Javier E. Rivera Aldarondo and Laritza Luna Pedraza
Bankr. D.P.R. Case No. 15-03514
Chapter 11 Petition filed May 8, 2015
In re Peak Physical Therapy and Sports Medicine of Kyle, PLLC
Bankr. W.D. Tex. Case No. 15-10628
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/txwb15-10628.pdf
represented by: Marcus Jermaine Watson
M. J. WATSON & ASSOCIATES, P.C.
E-mail: jwatson@mjwatsonlaw.com
In re Alex I. Schwartzman and Tara S. Schwartzman
Bankr. W.D. Tex. Case No. 15-51181
Chapter 11 Petition filed May 8, 2015
In re O'Quinn's Plumbing Services, LLC
Bankr. E.D. Va. Case No. 15-11605
Chapter 11 Petition filed May 8, 2015
See http://bankrupt.com/misc/vaeb15-11605.pdf
represented by: Frank Bredimus
LAW OFFICE OF FRANK BREDIMUS
E-mail: Fbredimus@aol.com
In re LGS Transport Inc.
Bankr. C.D. Cal. Case No. 15-14729
Chapter 11 Petition filed May 10, 2015
See http://bankrupt.com/misc/cacb15-14729.pdf
represented by: David T. Egli, Esq.
LAW OFFICE OF DAVID T EGLI
E-mail: eglilaw80@gmail.com
In re Pledge 5 Foundation, Inc.
Bankr. N.D. Fla. Case No. 15-10111
Chapter 11 Petition filed May 10, 2015
See http://bankrupt.com/misc/flnb15-10111
represented by: Sharon T. Sperling
LAW OFFICE OF SHARON T. SPERLING
E-mail: sharon@sharonsperling.com
In re Descon Construction LP
Bankr. S.D. Tex. Case No. 15-20191
Chapter 11 Petition filed May 10, 2015
See http://bankrupt.com/misc/txsb15-20191.pdf
represented by: Roderick Glen Ayers, Jr.
LANGLEY BANACK, INC.
E-mail: gayers@langleybanack.com
In re SR Vista FD, Inc.
Bankr. C.D. Cal. Case No. 15-17544
Chapter 11 Petition filed May 11, 2015
See http://bankrupt.com/misc/cacb15-17544.pdf
represented by: Thomas J Polis
POLIS & ASSOCIATES, APLC
E-mail: tom@polis-law.com
In re Francisco Serrano Reyna and Olga L. Nunez
Bankr. C.D. Cal. Case No. 15-17559
Chapter 11 Petition filed May 11, 2015
In re William E. Ward, III
Bankr. S.D. Fla. Case No. 15-18552
Chapter 11 Petition filed May 11, 2015
In re Scott A. Reidy
Bankr. N.D. Ind. Case No. 15-11161
Chapter 11 Petition filed May 11, 2015
In re John E. Hawkins, Sr. and Jacqueline R. Hawkins
Bankr. D. Md. Case No. 15-16784
Chapter 11 Petition filed May 11, 2015
In re Sara Salazar
Bankr. D. Nev. Case No. 15-12690
Chapter 11 Petition filed May 11, 2015
In re Baker Homes, Inc
Bankr. N.D. Ohio Case No. 15-31530
Chapter 11 Petition filed May 11, 2015
See http://bankrupt.com/misc/ohnb15-31530.pdf
represented by: William Francis Perry
E-mail: wperry@thelemonlawyers.com
In re Oscar Antonio Vargas
Bankr. W.D. Tex. Case No. 15-30753
Chapter 11 Petition filed May 11, 2015
In re Minerva Yager
Bankr. D. Ariz. Case No. 15-05845
Chapter 11 Petition filed May 12, 2015
In re Rani K. Yadav-Ranjan
Bankr. N.D. Cal. Case No. 15-51608
Chapter 11 Petition filed May 12, 2015
In re Daneen Janette Cueva
Bankr. D. Colo. Case No. 15-15169
Chapter 11 Petition filed May 12, 2015
In re 13170 LLC
Bankr. S.D. Fla. Case No. 15-18714
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/flsb15-18714.pdf
represented by: Joel M. Aresty, Esq.
E-mail: aresty@mac.com
In re Brantley-Powell Funeral Home, Inc.
Bankr. S.D. Ga. Case No. 15-30128
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/gasb15-30128.pdf
represented by: Jon A. Levis
MERRILL & STONE, LLC
E-mail: bkymail@merrillstonehamilton.com
In re AJR Peakview, Inc.
Bankr. S.D. Iowa Case No. 15-00980
Chapter 11 Petition filed May 12, 2015
Filed Pro Se
In re Rhonda's Riley Lumber Company Inc,
Bankr. D. Kan. Case No. 15-40459
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/ksb15-40459.pdf
represented by: Brenda J. Bell
E-mail: bjbell@kansas.net
In re Larry D. Terrell
Bankr. E.D. La. Case No. 15-11175
Chapter 11 Petition filed May 12, 2015
In re Gary Elliott Eisenberg
Bankr. E.D. Mich. Case No. 15-47436
Chapter 11 Petition filed May 12, 2015
In re Therma-Scan Reference Laboratory, LLC
Bankr. E.D. Mich. Case No. 15-47496
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/mieb15-47496.pdf
represented by: Lynn M. Brimer
E-mail: lbrimer@stroblpc.com
In re 115 Bay Ridge Ave LLC
Bankr. E.D.N.Y. Case No. 15-42191
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/nyeb15-42191.pdf
Filed Pro Se
In re Red Hook Meat Corp.
Bankr. E.D.N.Y. Case No. 15-42193
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/nyeb15-42193.pdf
represented by: Neil R. Flaum
FLAUM & ASSOCIATES, P.C.
E-mail: flaumandassociatespc@gmail.com
In re Fort George Paradise Inc. DBA Sally's Restaurant
Bankr. E.D.N.Y. Case No. 15-42199
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/nyeb15-42199.pdf
represented by: Gregory M. Messer, Esq.
LAW OFFICES OF GREGORY MESSER, PLLC
E-mail: gremesser@aol.com
In re The Gain (NY) LLC
Bankr. E.D.N.Y. Case No. 15-42201
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/nyeb15-42201.pdf
represented by: Vincent F. Spata, Esq.
E-mail: vfspata@gmail.com
In re Catucci Home Heating Oil, Inc.
Bankr. S.D.N.Y. Case No. 15-22673
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/nysb15-22673.pdf
represented by: H. Bruce Bronson, Jr., Esq.
BRONSON LAW OFFICES, P.C.
E-mail: hbbronson@bronsonlaw.net
In re Terrace Housing Associates, LTD
Bankr. E.D. Pa. Case No. 15-13368
Chapter 11 Petition filed May 12, 2015
Filed Pro Se
In re Salt City Investments
Bankr. D. Utah Case No. 15-24337
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/utb15-24337.pdf
represented by: Michael L. Labertew, Esq.
LABERTEW & ASSOCIATES, LLC
E-mail: michael@labertewlaw.com
In re Juan Carlos Del Cid
Bankr. E.D. Va. Case No. 15-71629
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/vaeb15-71629.pdf
represented by: Kelly Megan Barnhart, Esq.
ROUSSOS, GLANZER & BARNHART, PLC
E-mail: barnhart@rgblawfirm.com
In re Nakayla LLC
Bankr. E.D. Wis. Case No. 15-25494
Chapter 11 Petition filed May 12, 2015
See http://bankrupt.com/misc/wieb15-25494.pdf
represented by: James E. Toran, Esq.
TORAN LAW OFFICE
E-mail: toranlawoffice@gmail.com
In re Jonquil Partners, LLC
Bankr. D. Ariz. Case No. 4:15-05870
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/azb15-05870.pdf
represented by: Eric Slocum Sparks, Esq.
ERIC SLOCUM SPARKS, P.C.
E-mail: law@ericslocumsparkspc.com
In re Martin Ray Castoe
Bankr. D. Ariz. Case No. 15-05920
Chapter 11 Petition filed May 13, 2015
In re Beverly Palm Properties, Inc.
Bankr. C.D. Cal. Case No. 15-17657
Chapter 11 Petition filed May 13, 2015
Filed Pro Se
In re Mark Allen Harris
Bankr. C.D Cal. Case No. 15-17693
Chapter 11 Petition filed May 13, 2015
In re Patricia D. McConnell
Bankr. N.D. Cal. Case No. 15-51621
Chapter 11 Petition filed May 13, 2015
represented by: Lars T. Fuller, Esq.
THE FULLER LAW FIRM
E-mail: Fullerlawfirmecf@aol.com
In re Tortia Investments, LLC
Bankr. N.D. Cal. Case No. 15-51630
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/canb15-51630.pdf
represented by: Charles B. Greene, Esq.
LAW OFFICES OF CHARLES B. GREENE
E-mail: cbgattyecf@aol.com
In re Koch Enterprises of Sarasota, Inc. d/b/a Animal Medical
Clinic
Bankr. M.D. Fla. Case No. 15-04998
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/flmb15-04998.pdf
represented by: R. John Cole, II, Esq.
R. JOHN COLE, II, P.A.
E-mail: rjc@rjcolelaw.com
In re Clement C. Nwosu
Bankr. M.D. Ga. Case No. 15-51092
Chapter 11 Petition filed May 13, 2015
In re SSNN-Bonnie Lane LLC
Bankr. N.D. Ill. Case No. 15-17056
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/ilnb15-17056.pdf
represented by: Gregory K. Stern, Esq.
GREGORY K. STERN, P.C.
E-mail: gstern1@flash.net
In re Peppertree-Atlantic Beach Association, Inc.
Bankr. Eastern District of North Carolina Case No. 15-02700
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/nceb15-02700.pdf
represented by: Philip W. Paine, Esq.
E-mail: ppaine@jordanprice.com
In re Soda Condos, LLC
Bankr. D. Nev. Case No. 15-12731
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/nvb15-12731.pdf
represented by: Spencer M. Judd, Esq.
SPENCER M. JUDD, ESQ.
E-mail: spencer@SJuddLaw.com
In re 20 Ocean Drive Realty Trust
Bankr. D.N.H. Case No. 15-10781
Chapter 11 Petition filed May 13, 2015
Filed Pro Se
In re AKO Interior LLC
Bankr. E.D.N.Y. Case No. 15-42216
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/nyeb15-42216.pdf
represented by: Alla Kachan, Esq.
E-mail: alla@kachanlaw.com
In re D.C. Hamlet, Inc.
Bankr. N.D.N.Y. Case No. 15-60713
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/nynb15-60713.pdf
represented by: James G. Cushman, Esq.
E-mail: cushmanlaw@gmail.com
In re Millweave, LLC
Bankr. M.D. Pa. Case No. 15-02027
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/pamb15-02027.pdf
represented by: Gary J. Imblum, Esq.
IMBLUM LAW OFFICES, P.C.
E-mail: gary.imblum@imblumlaw.com
In re The Gettysburg Connection, LLP
Bankr. M.D. Pa. Case No. 15-02029
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/pamb15-02029.pdf
represented by: Gary J. Imblum, Esq.
IMBLUM LAW OFFICES, P.C.
E-mail: gary.imblum@imblumlaw.com
In re Robin Hospitality, Inc.
Bankr. W.D. Pa. Case No. 15-10532
Chapter 11 Petition filed May 13, 2015
See http://bankrupt.com/misc/pawb15-10532.pdf
represented by: Laura S. Steehle, Esq.
MARSH SPAEDER BAUR SPAEDER & SCHAAF
E-mail: lsteehler@marshspaeder.com
In re Raymond Cernota
Bankr. S.D. Tex. Case No. 15-32691
Chapter 11 Petition filed May 13, 2015
In re Taryn Vu - Rose
Bankr. C.D. Cal. Case No. 15-17727
Chapter 11 Petition filed May 14, 2015
In re David Moritz and Leslie Marks-Moritz
Bankr. C.D. Cal. Case No. 15-17735
Chapter 11 Petition filed May 14, 2015
In re Pamela Noel
Bankr. C.D. Cal. Case No. 15-17743
Chapter 11 Petition filed May 14, 2015
In re Syed Aurangzeb Pirzada
Bankr. C.D. Cal. Case No. 15-17752
Chapter 11 Petition filed May 14, 2015
In re Roland C. Jackson and Diane P. Jackson
Bankr. D. Colo. Case No. 15-15328
Chapter 11 Petition filed May 14, 2015
In re Gonphysion, LLC
Bankr. D. Colo. Case No. 15-15329
Chapter 11 Petition filed May 14, 2015
See http://bankrupt.com/misc/cob15-15329.pdf
represented by: Guy B. Humphries, Esq.
E-mail: guyhumphries@msn.com
In re Zbigniew Maniecki
Bankr. M.D. Fla. Case No. 15-05059
Chapter 11 Petition filed May 14, 2015
In re Amy E. Sines
Bankr. N.D. Ill. Case No. 15-17229
Chapter 11 Petition filed May 14, 2015
In re Hydrangea Holdings
Bankr. E.D.N.Y. Case No. 15-42232
Chapter 11 Petition filed May 14, 2015
See http://bankrupt.com/misc/nyeb15-42232.pdf
represented by: Irene Nwanyanwu, Esq.
ANELE & ASSOCIATES
E-mail: irenenn@optonline.net
In re Freddy A. Garcia
Bankr. E.D.N.Y. Case No. 15-42243
Chapter 11 Petition filed May 14, 2015
In re I.T.M Garden Inc.
Bankr. S.D.N.Y. Case No. 15-11252
Chapter 11 Petition filed May 14, 2015
See http://bankrupt.com/misc/nysb15-11252.pdf
represented by: Lawrence Morrison, Esq.
MORRISON TENENBAUM PLLC
E-mail: morrlaw@aol.com
In re Donald E. Taylor and Annie T. Taylor
Bankr. E.D.N.C. Case No. 15-02730
Chapter 11 Petition filed May 14, 2015
In re Gamalier Bermudez Ruiz
Bankr. D.P.R. Case No. 15-03623
Chapter 11 Petition filed May 14, 2015
In re Radhe Mgn, Inc.
Bankr. M.D. Tenn. Case No. 15-03317
Chapter 11 Petition filed May 14, 2015
See http://bankrupt.com/misc/tnmb15-03317.pdf
represented by: Steven L. Lefkovitz, Esq.
LAW OFFICES LEFKOVITZ & LEFKOVITZ
E-mail: slefkovitz@lefkovitz.com
In re Hook Ventures, LLC
Bankr. M.D. Tenn. Case No. 15-03331
Chapter 11 Petition filed May 14, 2015
See http://bankrupt.com/misc/tnmb15-03331.pdf
represented by: Steven L. Lefkovitz, Esq.
LAW OFFICES LEFKOVITZ & LEFKOVITZ
E-mail: slefkovitz@lefkovitz.com
In re MCSGlobal Incorporated
Bankr. E.D. Va. Case No. 15-11674
Chapter 11 Petition filed May 14, 2015
See http://bankrupt.com/misc/vaeb15-11674.pdf
represented by: Dawn C. Stewart, Esq.
THE STEWART LAW FIRM, PLLC
E-mail: dstewart@thestewartlawfirm.com
In re Gerald D. Beranek
Bankr. W.D. Wis. Case No. 15- 11816
Chapter 11 Petition filed May 14, 2015
*********
Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par. Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable. Those sources may not,
however, be complete or accurate. The Monday Bond Pricing table
is compiled on the Friday prior to publication. Prices reported
are not intended to reflect actual trades. Prices for actual
trades are probably different. Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind. It is likely that some entity
affiliated with a TCR editor holds some position in the issuers
public debt and equity securities about which we report.
Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than $3 per
share in public markets. At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets. A company may establish reserves on its balance sheet for
liabilities that may never materialize. The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.
On Thursdays, the TCR delivers a list of recently filed
Chapter 11 cases involving less than $1,000,000 in assets and
liabilities delivered to nation's bankruptcy courts. The list
includes links to freely downloadable images of these small-dollar
petitions in Acrobat PDF format.
Each Friday's edition of the TCR includes a review about a book of
interest to troubled company professionals. All titles are
available at your local bookstore or through Amazon.com. Go to
http://www.bankrupt.com/books/to order any title today.
Monthly Operating Reports are summarized in every Saturday edition
of the TCR.
The Sunday TCR delivers securitization rating news from the week
then-ending.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter is a daily newsletter co-published
by Bankruptcy Creditors Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Jhonas Dampog, Marites Claro, Joy Agravante, Rousel Elaine
Tumanda, Valerie Udtuhan, Howard C. Tolentino, Carmel Paderog,
Meriam Fernandez, Joel Anthony G. Lopez, Cecil R. Villacampa,
Sheryl Joy P. Olano, Psyche A. Castillon, Ivy B. Magdadaro, Carlo
Fernandez, Christopher G. Patalinghug, and Peter A. Chapman,
Editors.
Copyright 2015. All rights reserved. ISSN: 1520-9474.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers. Information contained
herein is obtained from sources believed to be reliable, but is
not guaranteed.
The TCR subscription rate is $975 for 6 months delivered via
e-mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance thereof
are $25 each. For subscription information, contact Peter A.
Chapman at 215-945-7000 or Nina Novak at 202-362-8552.
*** End of Transmission ***